Guides

Plain-language explainers on salary, tax and payroll in India, with worked numbers.

CTC vs In-Hand Salary: Offer Letter Traps to CheckWhy your CTC looks bigger than your in-hand salary: variable pay, joining bonus clawbacks, ESOPs, gratuity in CTC, and questions to ask HR before signing.
TDS on Salary 2026-27: Section 392 and Why It VariesHow employers calculate TDS on salary under section 392 (the old 192), why the monthly deduction jumps, Form 124 declarations, Form 130 and getting a refund.
Tax Year 2026-27 Meaning: Which FY and AY Is It?Tax year 2026-27 means income earned from 1 April 2026 to 31 March 2027. In old terms that is FY 2026-27 and AY 2027-28, with the return filed in 2027.
Tax-Free Allowances and Perks in 2026-27: The New LimitsThe Income-tax Rules, 2026 raised meal vouchers to ₹200 a meal, employer gifts to ₹15,000, children's education allowance to ₹3,000 a month and car perk values. What each regime now allows.
Surcharge on Income Tax 2026-27: Rates, Cap, ReliefHow surcharge on income tax works in tax year 2026-27, the 10/15/25/37% slabs, the new regime 25% cap, marginal relief with a worked example above ₹50 lakh, and cess on top.
Standard Deduction ₹75,000: Who Gets It in 2026-27The ₹75,000 standard deduction under section 19 for tax year 2026-27: who gets it, new vs old regime amounts, why no proof is needed, and how it powers the ₹12 lakh rebate.
Section 80C, Now Section 123: Save Up to ₹1.5 LakhSection 80C is section 123 of the Income-tax Act, 2025 from tax year 2026-27. EPF, PPF, ELSS, life cover, tuition fees and home loan principal, lock-ins and mistakes to avoid.
Salary Structure in India 2026: Basic, HRA and the 50% RuleHow an Indian salary is built from CTC: basic, HRA, special allowance, PF, gratuity and NPS, typical shares, which parts are taxed, and what the labour codes' 50% rule changed.
Salary Hike and Take-Home: How Much of a Raise You Actually KeepA 10% hike on CTC rarely means 10% more in your account. What you keep at each salary in 2026-27, the ₹12.75 lakh zone where a raise adds nothing, and how to take part of it as NPS.
Salary Arrears Relief Under Section 157: How Form 39 WorksSalary arrears can push you into a higher slab or past the ₹12 lakh rebate. Section 157, the old 89(1), taxes them as if paid on time. A worked example, and how to file Form 39, the old Form 10E.
Rent Receipts for HRA Proof: Rules, Format and ValidityEverything about rent receipts for HRA proof: what a valid receipt contains, revenue stamp rules, landlord PAN requirement, and whether digital receipts count.
Professional Tax in Salary: Slabs and the ₹2,500 CapWhat professional tax is, which states levy it, how the slabs work, the ₹2,500 yearly cap, and where PT shows up on your salary slip in India every month.
PF Withdrawal: Rules, Forms 19, 10C and 31, TDS and Form 15GHow EPF withdrawal actually works, which form to file, the 5-year rule that decides whether it is taxable, when EPFO deducts 10% or 20% TDS, and when Form 15G genuinely helps.
PF Deduction Rules 2026: How Much PF Comes Off SalaryPF is 12% of wages from you and 12% from your employer. The wage ceiling rose to ₹25,000 on 17 September 2026, so capped PF is now ₹3,000 a month. The split, the labour codes and the tax rules.
Paying Rent to Parents for HRA: Rules, Tax Math, ProofIs paying rent to parents for HRA legal? Yes, if genuine. Learn the conditions, the family tax math, documents you need, and what triggers tax scrutiny.
Employer NPS Contribution in the New Tax RegimeYour employer's NPS contribution is deductible up to 14% of basic plus DA in the new regime under section 124, the old 80CCD(2). How it works, the ₹7.5 lakh cap and the tax saved.
New vs Old Tax Regime 2026-27: Which Saves More Tax?New vs old tax regime for tax year 2026-27 with worked examples at ₹8 lakh, ₹12 lakh, ₹18 lakh and ₹30 lakh, and the break-even deductions that decide it.
New Labour Codes 2025: How Your Salary ChangesThe labour codes took effect on 21 November 2025. What the 50% wage rule does to PF, gratuity and take-home, plus fixed-term gratuity and the 2-day final settlement.
Metro vs Non-Metro HRA 2026: The New 8-City ListFrom tax year 2026-27, eight cities get the 50% HRA limit: Delhi, Mumbai, Kolkata, Chennai, Bengaluru, Hyderabad, Pune and Ahmedabad. What it is worth, with worked examples.
Leave Encashment Tax Exemption: Limits and ExamplesLeave encashment on resignation or retirement is tax-free up to the least of four limits, including ₹25 lakh. How the limits work, with worked examples, in both regimes.
ITR Filing FY 2025-26: Belated Return Guide for SalariedFiling the FY 2025-26 return as a salaried taxpayer: the 31 July due date, belated returns until 31 December 2026, documents, ITR-1 vs ITR-2, regime choice and refunds.
Income Tax Slabs 2026-27: New and Old Regime RatesIncome tax slabs for tax year 2026-27 in the new and old regime, with the ₹75,000 standard deduction, the ₹12 lakh rebate, surcharge, cess and worked figures by salary.
Income Up to ₹12 Lakh Tax-Free? The Section 156 RebateHow the rebate in section 156 (the old 87A) makes income up to ₹12 lakh tax-free in tax year 2026-27, why salaried people get ₹12.75 lakh, and how marginal relief works.
Income-tax Act 2025: What Changes for Salaried PeopleThe Income-tax Act, 2025 took effect on 1 April 2026. Tax year replaces FY and AY, 80C is now section 123, salary TDS is section 392 and Form 16 becomes Form 130.
Section 80GG: Claim Rent Deduction Without HRANo HRA in your salary? Section 80GG lets you deduct rent under the old regime. Learn the three limits, Form 10BA, and why the Rs 5,000 monthly cap hurts.
How HRA Exemption Works in 2026-27: A Complete GuideHow HRA exemption is calculated with the three-limb rule, the new 8-city 50% list from tax year 2026-27, documents including Form 124, old vs new regime, and common mistakes.
How to Read Your Salary Slip in India: Every Line ItemBasic, HRA, special allowance, PF, PT, TDS, decode every line on your Indian salary slip, why basic pay matters most, and what to check every single month.
Gratuity Rules 2026: Labour Code Changes, Formula, TaxGratuity under the labour codes from 21 November 2025: 5-year eligibility, fixed-term staff after one year, the 15/26 formula, the new wage definition and the ₹20 lakh tax-free limit.
Full and Final Settlement Rules 2026: The 2-Day LawWhat goes into a full and final settlement in India, the Code on Wages rule to pay within two working days, how gratuity, leave encashment and notice pay are taxed.
Form 168: The New Annual Tax Statement That Replaces Form 26ASFrom tax year 2026-27, Form 168 is the annual information statement under section 510, replacing Form 26AS. What it shows, how it relates to the AIS and Form 130, and how to fix a wrong entry.
Form 16 and Form 130 Explained: Part A and Part BForm 16 is now Form 130 from tax year 2026-27. What Part A and Part B contain, when employers issue it, fixing 26AS mismatches, and filing with two employers.
Form 124: The New Form 12BB for Declaring Rent and InvestmentsForm 124 replaced Form 12BB on 1 April 2026. What it asks for, the new landlord relationship question, when to submit it, and what happens if you don't.
ESIC Contribution Rules 2026: Rates, the ₹21,000 Limit and the New Wage DefinitionESI is 0.75% of wages from the employee and 3.25% from the employer, for wages up to ₹21,000 a month. Since the labour codes, HRA and conveyance are left out of wages, which changes who is covered.
EPF Wage Ceiling Raised to ₹25,000: What Changes in Your SalaryThe EPF wage ceiling went from ₹15,000 to ₹25,000 a month on 17 September 2026. Capped PF rises from ₹1,800 to ₹3,000, more people must join EPF and EPS, and take-home falls by up to ₹2,400.
EPF Explained: How Provident Fund Works for Indian EmployeesHow EPF works in India: the 12% + 12% split, EPS, the ₹3,000 cap under the new ₹25,000 wage ceiling, interest, UAN, withdrawal rules, and how EPF compares with PPF.
EPF Interest Rate 2025-26: 8.25%, and How Your Interest Is Worked OutEPF interest for 2025-26 is 8.25%, the third year running at that rate. The rate history since 2016-17, how running-balance interest is calculated, when it is credited and when it is taxed.
CTC vs Gross vs In-Hand Salary in India: Know the DifferenceConfused between CTC, gross and in-hand salary? See what sits inside your CTC, a worked ₹12 lakh example, and the offer-letter traps to watch out for.
Is Bonus Taxable in India? How Bonus Tax WorksA bonus is taxed as salary at your slab rate in the year you receive it. Why TDS spikes in the bonus month, worked examples for 2026-27, and ways to keep more of it.
Advance Tax Due Dates 2026-27 and Who Must PayAdvance tax for tax year 2026-27 is due in four instalments: 15 June, 15 September, 15 December and 15 March. Who has to pay, how much, and the interest if you don't.
PDF Password Formats: Payslip, Form 16 and Tax DocumentsEvery password-protected PDF in Indian payroll and tax, and what actually opens it. Form 16, Form 16A, payslips, income tax intimation orders, AIS and Form 26AS, with the exact formats and what to do when they fail.
Computer Generated Salary Slip: Valid Without a Signature?The exact disclaimer wording to put on a system generated payslip, what the Code on Wages actually requires, and when a bank or consulate will still ask for a signed and stamped copy.
Joining Bonus, Notice Buyout and Leave Encashment TaxHow a joining bonus is taxed (TDS and clawback), whether a notice-period buyout is deductible from salary, leave encashment rules, and how they swing an offer.
Salary Slips for Loan Applications: What Banks CheckWhy banks ask for 3 months' salary slips, what they check before approving your loan, red flags to avoid, and options if you're self-employed in India.
GST Invoicing for Freelancers in India: Rules and LimitsWhen freelancers need GST registration in India, the ₹20 lakh threshold, mandatory invoice fields, export of services rules, and late registration risks.