Bengaluru, a lakhpati hub: Karnataka beats all states to top taxpayer charts

Karnataka has emerged as the state with the highest proportion of lakhpati taxpayers, defined as those earning between Rs. 12 lakh (US$ 13,718) and Rs. 50 lakh (US$ 57,160) annually, according to data shared by the Ministry of Finance in the Lok Sabha. More than 20.6% of income tax filers in the state fall into this category, making it the national leader. Bengaluru, powered by its thriving Information Technology (IT), startup, services, and financial sectors, is the primary driver behind this concentration of high-income earners. Telangana follows closely with 19.8% of taxpayers in the same bracket, while Jharkhand ranks third with 19.5%.
Across India, an average of 14.1% of taxpayers report incomes in this range. Tamil Nadu (18.8%) and Delhi (17.6%) round out the top five, while Puducherry, Odisha, Maharashtra, Andhra Pradesh, and Uttarakhand also feature among the top 10. Interestingly, Gujarat, despite its robust economic activity, ranked at the bottom of the list, which officials attribute to its broader and higher overall tax base. The data underscores Bengaluru’s role as India’s “lakhpati hub” and highlights Karnataka’s position as the leading state for mid-to-high income earners.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.