Infographics 2024

Top 10% Income Share in India: Diverging Trends in Household Surveys and WID Estimate

Rajesh Shukla

The share of the top 10% in net national income exhibits significant divergence between household surveys and WID estimates. Household surveys indicate relatively stable trends, with the top 10%'s income share fluctuating between 30.2% and 38.6% over the years, showing gradual increases in recent years.

In contrast, WID estimates show a sharp and significant rise in the income share of the top 10%, from 38.3% in 1994-95 to 57.7% in 2022-23. This discrepancy reflects WID's reliance on tax data, which tends to overrepresent high-income groups. While WID estimates highlight the growing concentration of income among the wealthy, household surveys offer a more balanced and gradual perspective on the top decile's income share.