The per capita income of Indians, based on income-tax data, is projected to rise from Rs 2 lakh in FY23 to Rs 14.9 lakh in FY47, aligning with India’s 100 years of Independence, as indicated by SBI Research. In terms of dollars, this increase will be from approximately $2,500 in FY23 to $12,400 in FY47.

Soumya Kanti Ghosh, the Group Chief Economic Adviser at the State Bank of India, noted that the average income, calculated using weighted mean, was Rs 4.4 lakh in Assessment Year 2014 (AY14), which saw an escalation to Rs 13 lakh in FY23.
According to Ghosh, the middle class is on the rise. It is more forward-looking than what a lot of corresponding research has been able to capture.

This class displays a state of mind filled with abundant hope.

This may warrant new definitions because it depicts a unique state of flux, leveraging the emerging opportunities as the economy gets formalised and the share of the gig economy rises, Ghosh added.

The population of India is expected to increase to 1.6 billion in FY47 from 1.4 billion in FY23 and, correspondingly, the workforce is expected to increase to 725 million in FY47 from 530 million in FY23.

This implies a rise in the proportion of the population that is part of the workforce, from 37.9 percent in FY23 to 45 percent in FY47.

SBI Research forecasts that the working population with a taxable income will likely grow to 565 million in FY47, compared to 313 million in FY23.

The number of individuals filing income-tax returns is anticipated to surge from 70 million in FY23 to 482 million in FY47.