Rental Income Tax (Effective) - India Compared to Asia

Footnote | Export Sort: Alphabetically | Ascending | Descending

Click name of country for detailed information
Bangladesh 30.00%
Nepal 25.00%
Taiwan 25.00%
Malaysia 22.40%
Indonesia 20.00%
Vietnam 20.00%
Uzbekistan 20.00%
Singapore 15.13%
Kazakhstan 15.00%
Sri Lanka 14.81%
Azerbaijan 14.00%
Cambodia 14.00%
Pakistan 11.40%
Hong Kong 11.40%
Mongolia 10.00%
Macau 8.76%
India 7.87%
Myanmar 7.50%
Laos 7.50%
China 5.00%
Georgia 5.00%
Philippines 4.06%
Japan 3.40%
Thailand 2.73%
South Korea 0.00%

India: Rental income taxes (%).

The tax levied on the average annual income on a rental apartment/property in the country.

Assumptions:

  • Gross rental income is /US$1,500/month
  • The property is personally directly owned jointly by husband and wife
  • Both owners are foreigners and non-residents
  • They have no other local income
  • There is no mortgage, i.e., no loan is taken for the purchase


In arriving at the pre-tax profit figure, we calculate, and deduct:

  • Depreciation / capital allowances if available. We assume a value for the apartment based on our valuation research, and depreciate on this basis.


We deduct any other costs which a landlord normally pays - management charges, buildings insurance, realtor agency fees, etc. We either choose a standard percentage deduction (if available) or typical actually incurred costs. If real estate tax is normally payable by the landlord, we deduct that.

Our rental income tax figures are provided by accountants (see list of contributors). For more details see the Data FAQ.

Source: Global Property Guide Research, Contributing Accounting Firms


India launched Residex (India's house price index) in July 2007, through the National Housing Bank (NHB). Since Residex is relatively new, its methodology is being revised every so often. The eventual aim is to cover residential housing for 63 cities, before extending coverage to commercial property and land. At date of writing (early 2014) Residex covered 26 cities, with 2007 as base year. Residex is publicly available and can be accessed at the National Housing Bank's site. General economics statistics are from the Reserve Bank of India.