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After-Tax XIRR Calculator

Computes the true IRR of your bond investment on actual calendar dates, after applying income tax to coupon payments and LTCG/STCG on the capital gain at maturity. More accurate than a simple post-tax yield approximation.

Annual coupon rate as printed on the bond
Your purchase price per ₹100 face value (excluding accrued interest)
Usually ₹1,000 for corporate bonds, ₹100 for G-Secs
Date you pay for the bond (typically T+1)
Applied to coupon income. Capital gain tax depends on holding period.
Tick for infrastructure tax-free bonds. Coupon is exempt from income tax.
Calculating…

How this is computed

  • Each coupon payment is reduced by income tax at your slab rate.
  • At maturity, the capital gain (face value − clean purchase price) is taxed at 12.5% + cess if the bond is listed and held over 12 months, otherwise at your slab rate. A loss gets no tax benefit. Cumulative and zero-coupon bonds pay only at maturity.
  • The purchase outflow includes accrued interest (dirty price).
  • XIRR solves for the internal rate of return over actual calendar days — no simplifying assumptions about payment timing. This is the standard definition used by Excel's XIRR function.
  • For tax-free bonds, coupon income is exempt; only capital gain tax applies.

Not tax advice. Consult a tax professional for your specific situation. Budget rules change annually.