Does Delhi charge Professional Tax?

No. Delhi UT does not levy Professional Tax. This translates to roughly ₹2,400–₹2,500 of additional annual take-home compared to Mumbai, Bangalore, or Chennai at the same CTC. Haryana (Gurgaon) and UP (Noida) also do not levy PT, so the absence extends across most of NCR.

Is Delhi a metro for HRA exemption?

Yes. Delhi is one of the four cities classified as metro under Rule 2A of the Income Tax Rules. HRA exemption is calculated at the 50% basic cap rather than the 40% non-metro cap. The classification applies to Delhi UT specifically — Gurgaon and Noida are not part of the metro list despite being treated as Delhi-adjacent in everyday usage.

I live in Gurgaon but work in Delhi. Which city do I use?

Use the city where you actually live and pay rent — Gurgaon, in this case. HRA exemption is based on residence, not workplace. Gurgaon is non-metro for HRA purposes (40% basic cap), so your exemption will be smaller than it would be if you lived in Delhi proper. Haryana also doesn't levy PT, so that part of the math goes the other direction.

Are PSU salaries different from what this calculator shows?

Often, yes. PSU and central-government salary structures typically use a higher basic percentage (40–50% rather than the 50% private-sector default we assume) and have significant DA components that are taxable but treated like basic for PF and gratuity purposes. The Advanced section in the calculator lets you adjust basic %; for DA modeling specifically, treat it as part of basic.

Delhisalary calculator

Delhi has the easiest payroll structure of any tier-1 Indian city. As a Union Territory, Delhi does not levy Professional Tax — a quiet ₹2,400-to-₹2,500 per year advantage over Mumbai, Bangalore, or Kolkata at the same CTC. Combined with metro status under Rule 2A (HRA exemption at the 50% basic cap), Delhi is one of the most tax-efficient cities to draw a salary from.

For a ₹18,00,000 CTC in Delhi at default 50% basic and the new regime, the calculator below shows about ₹1,18,300 a month in take-home — roughly ₹200 more than the same CTC would produce in Bangalore or Mumbai, because Delhi's zero PT flows straight through. The real-world catch: most "Delhi" workers actually live in Gurgaon or Noida, both of which fall outside Delhi UT and have completely different tax footprints despite being a metro ride apart.

01 · Your salary

Annual CTC

15.00 lakh · monthly ₹1,25,000

City

Age group

Monthly rent paid — optional, for HRA

02 · Your take-home

→ Monthly take-home

Old regime

₹98,129

per month

Annual: ₹11,77,549

Tax/yr: ₹1,06,376

New regime

₹1,00,508

per month

Annual: ₹12,06,092

Tax/yr: ₹77,833

New regime saves you ₹28,543 per year — about ₹2,379/month.

CTC breakdownwhere your money goes

Basic salary50% of CTC₹7,50,000

HRA50% basic₹3,75,000

Special allowance₹2,48,925

Employer PF ₹90,000

Gratuity ₹36,075

Total CTC₹15,00,000

Monthly deductionswhat comes off your salary

Employee PF − ₹7,500

Professional taxDelhi− ₹0

Income taxnew regime− ₹6,486

Total monthly deductions₹13,986

Tax-saving investmentsold regime only

80C investmentsPPF, ELSS, EPF · cap ₹1.5L

80D health insuranceself ₹25K + parents ₹25K

Home loan interestsection 24(b) · cap ₹2L

80CCD(1B) NPS selfextra NPS · cap ₹50K

Employer NPS80CCD(2) · % of basic, both regimes

Tax breakdownnew regime · FY 2025-26

Gross taxable salary₹13,73,925

Less: standard deduction− ₹75,000

Taxable income₹12,98,925

0–4Lat 0%₹0

4L–8Lat 5%₹20,000

8L–12Lat 10%₹40,000

12L–16Lat 15%₹14,839

Tax on slabs₹74,839

+ Health & Education Cess (4%)+ ₹2,994

Total income tax₹77,833

Customise CTC structureadvanced

Basic % of CTC

range 40-60, default 50

Employee PF mode

Include gratuity in CTC

PT work state

defaults to your city

No signup · no data sent to any server · all math runs in your browser

Delhi · the salary-structure details

Delhi UT's position on Professional Tax is unusual. PT is a state-level levy under Article 276 of the Constitution, capped at ₹2,500 per year. Most large states with significant white-collar employment — Maharashtra, Karnataka, Tamil Nadu, West Bengal, Telangana, Andhra Pradesh, Gujarat, Kerala — collect it. Delhi, Haryana, UP, MP, Rajasthan, Punjab, Chandigarh, J&K, Bihar, and the North-Eastern states do not. For a salaried Indian at the ₹15 lakh CTC level, the absence of PT translates to roughly ₹2,400–₹2,500 of additional annual take-home — small but real.

Delhi's HRA metro status applies to the city itself, not the broader NCR. The classification is at the city level under Rule 2A: Delhi, Mumbai, Chennai, Kolkata. Gurgaon (Haryana) and Noida (UP) are not part of the metro list even though many workers commute between them and Delhi daily. Your HRA exemption is calculated based on the city you live and pay rent in — not your employer's registered office, not the metro line your office is on.

One Delhi-specific consideration for senior roles: many central public sector and government-adjacent jobs are headquartered in New Delhi. These employers often run different CTC structures (with a higher basic, often 40–50%, and significant DA components) than private-sector tech or finance employers. The calculator assumes the standard private-sector convention. For PSU or government roles, you may want to override the basic % in the Advanced section.

Frequently asked questions

Does Delhi charge Professional Tax?: No. Delhi UT does not levy Professional Tax. This translates to roughly ₹2,400–₹2,500 of additional annual take-home compared to Mumbai, Bangalore, or Chennai at the same CTC. Haryana (Gurgaon) and UP (Noida) also do not levy PT, so the absence extends across most of NCR.
Is Delhi a metro for HRA exemption?: Yes. Delhi is one of the four cities classified as metro under Rule 2A of the Income Tax Rules. HRA exemption is calculated at the 50% basic cap rather than the 40% non-metro cap. The classification applies to Delhi UT specifically — Gurgaon and Noida are not part of the metro list despite being treated as Delhi-adjacent in everyday usage.
I live in Gurgaon but work in Delhi. Which city do I use?: Use the city where you actually live and pay rent — Gurgaon, in this case. HRA exemption is based on residence, not workplace. Gurgaon is non-metro for HRA purposes (40% basic cap), so your exemption will be smaller than it would be if you lived in Delhi proper. Haryana also doesn't levy PT, so that part of the math goes the other direction.
Are PSU salaries different from what this calculator shows?: Often, yes. PSU and central-government salary structures typically use a higher basic percentage (40–50% rather than the 50% private-sector default we assume) and have significant DA components that are taxable but treated like basic for PF and gratuity purposes. The Advanced section in the calculator lets you adjust basic %; for DA modeling specifically, treat it as part of basic.