India's Income Distribution: What 8.5 Crore Tax Returns Reveal
We analyzed data from 8.57 crore individual income tax returns filed in FY 2024-25 to understand how India's income is really distributed. The results might surprise you.
The Big Picture
Income Distribution Breakdown
Here's how India's individual taxpayers are distributed across income brackets:
The Complete Data
| Income Bracket | Taxpayers | Share | Percentile |
|---|---|---|---|
| Up to Rs 5 Lakh | 3,81,01,868 | 44.46% | Bottom 44.5% |
| Rs 5 - 10 Lakh | 3,36,65,123 | 39.28% | 44.5% - 83.7% |
| Rs 10 - 50 Lakh | 1,29,68,359 | 15.13% | Top 16.3% |
| Rs 50 Lakh - 1 Crore | 6,40,659 | 0.75% | Top 1.13% |
| Rs 1 - 5 Crore | 2,97,086 | 0.35% | Top 0.38% |
| Rs 5 - 10 Crore | 16,797 | 0.02% | Top 0.03% |
| Above Rs 10 Crore | 10,184 | 0.01% | Top 0.01% |
Key Insights
The "10 Lakh Club" is Smaller Than You Think
If you earn more than Rs 10 lakh annually, you're in the top 16.3% of all individual taxpayers. That's roughly 1.4 crore people out of 8.57 crore.
The Crorepati Count
Only 3,24,067 individuals reported income above Rs 1 crore. That's just 0.38% of taxpayers — less than 4 in every 1,000 people who file returns.
The Ultra-High Earners
Just 10,184 individuals in India reported income above Rs 10 crore. If you're one of them, you're literally one in a million (0.01%).
Where Do You Stand?
Here's a quick reference to understand your position:
| If Your Income Is... | You're In The... |
|---|---|
| Below Rs 5 Lakh | Bottom 44.5% |
| Rs 5 - 10 Lakh | Middle 44.5% - 83.7% |
| Rs 10 - 25 Lakh | Top 16.3% - 5% |
| Rs 25 - 50 Lakh | Top 5% - 1.1% |
| Rs 50 Lakh - 1 Crore | Top 1.1% - 0.38% |
| Above Rs 1 Crore | Top 0.38% |
Want to know your exact percentile?
Use our Income Percentile Calculator to see where you stand among Indian taxpayers.
Calculate NowHigh Earners: A Closer Look
Let's zoom into the top 1.13% — those earning above Rs 50 lakh:
Total high earners (above Rs 50 lakh): 9,64,726 individuals
That's less than 10 lakh people in a country of 140+ crore.
What This Data Doesn't Capture
Important caveats to keep in mind:
- Only taxpayers — This data covers only those who file ITR. Many Indians don't file returns (agricultural income, below threshold, informal sector).
- Reported income — This is declared income, which may differ from actual income.
- Individual filers only — Doesn't include HUFs, companies, or firms.
- Not household income — A household with two earners of Rs 8L each has Rs 16L combined, but both individuals fall in the "below 10L" bracket.
The Bottom Line
Income inequality in India is stark. While social media might make everyone seem wealthy, the data tells a different story:
- 83.7% of taxpayers earn below Rs 10 lakh
- Only 1 in 88 taxpayers earns above Rs 50 lakh
- Only 1 in 264 taxpayers earns above Rs 1 crore
- Only 1 in 84,000 taxpayers earns above Rs 10 crore
If you're earning above Rs 10 lakh, you're doing better than 84% of taxpayers. Above Rs 50 lakh? You're in elite territory. Above Rs 1 crore? You're in the top 0.4%.
Data Source: Income Tax e-Filing Portal statistics for FY 2024-25 (Assessment Year 2025-26), accessed February 2026.