Post-Tax Yield Calculator
See your bond’s actual after-tax return across every Indian income tax slab. Coupon income is always taxed at slab rate; capital gains depend on holding period.
How post-tax yield works
A bond’s gross YTM assumes no taxes. In reality:
- Coupon income is taxed at your income slab rate every year (TDS at 10% may be deducted at source for NCDs).
- Capital gains (if you sell before maturity or buy below face value) are taxed at your slab rate if short-term, or at 12.5% if long-term (post Budget 2024 — no indexation).
- Tax-free bonds (specific NHAI/REC/IRFC issuances from 2012–16) have tax-exempt coupon income, making their effective yield higher for high-bracket investors.
This calculator approximates the split between coupon income and capital gain using the difference between gross YTM and coupon rate. For exact post-tax yield, use the YTM calculator which models cash flows precisely.
Tax rules reflect FY 2026-27 provisions as understood (last reviewed July 2026). Tax law changes; verify with a CA for your situation. Not investment or tax advice.