How this works: Your bonus is added to your annual salary and taxed at your marginal slab rate. The difference in tax (with vs without bonus) is the TDS deducted by your employer at payout.
Bonus In-Hand
—
after TDS
TDS on Bonus
—
—
Marginal Tax Rate
—
your top slab
Tax Slabs — Where Your Bonus Falls
Full Breakdown
Things to Know
Disclaimer: Estimate based on FY 2026-27 slabs. Actual TDS may differ based on your employer's projected annual income calculation and other perquisites. Consult a CA for exact tax planning.