Overview

Capital
New Delhi
Currency
Indian Rupee

Taxes

Employer
Up to 12% - Pension fund
4.75% - Health insurance
Employee
0% - 0 Rs - 2,50,000 Rs
10% - 2,50,001 Rs - 5,00,000 Rs
20% - 5,00,001 Rs - 10,00,000 Rs
30% - Above 10,00,000 Rs
Up to 12% - Provident fund
1.75% - Health insurane

Minimum Wage

General
Minimum wages in India differ according to the governing state and workers skill set.

Non Mandatory

Expat Benefits
Depending on the company, the expat benefits include matching the salary of their home country,adjusting the cost of living and other personal allowances. Assistance with children’s education fees is also a common benefit for expats.

VAT

General
VAT is 5% standard rate.

Mandatory Benefits

Pension Fund
8.33% of monthly payroll. (Provident Fund) 3.67% of monthly payroll and .5% of monthly payroll for administrative cost. 8.33% of monthly payroll is contributed for employees 58 or older.
The employees contribute 12%.

Termination

Termination Process
Employer must give the employee one month notice.
Advance Notice
The advance notice is one month.
Severance Pay
Severance payment is given to workers who have been continuously employed for 2 years and are terminated for redundancy. Severance payment reflects duration of employment, performance and salary.