GDP at factor cost is equal to : 

Key Points Gross Domestic Product (GDP) at Factor Cost measures the total value of goods and services produced within a country, considering the costs of production (wages, rent, interest, and profit) without including indirect taxes and subsidies.

The relationship between GDP at market price and GDP at factor cost is:

GDP at Factor Cost = GDP at Market Price – Net Indirect Taxes

Where,

Net Indirect Taxes = Indirect Taxes – Subsidies
Indirect Taxes include GST, excise duty, and sales tax.
Subsidies are financial assistance provided by the government (e.g., fuel, agriculture subsidies).
Important PointsGDP at Market Price (GDPMP):

The total monetary value of all final goods and services at prevailing market prices, including taxes and excluding subsidies.
GDP at Market Price = GDP at Factor Cost + Net Indirect Taxes.
Depreciation (Capital Consumption Allowance) is not included in GDP at factor cost calculations but is used for Net Domestic Product (NDP) calculations.

Alternative GDP Measures:

GDP at Market Price = GDP at Factor Cost + Net Indirect Taxes.
Net Domestic Product (NDP) at Factor Cost = GDP at Factor Cost – Depreciation.
NDP at Market Price = GDP at Market Price – Depreciation.
Additional Information Example Calculation:

Suppose GDP at Market Price is ₹200 lakh crore, and Net Indirect Taxes (GST + other indirect taxes – subsidies) are ₹20 lakh crore, then:
GDP at Factor Cost = 200 – 20 = ₹180 lakh crore.
Comparison with Other Economic Measures:

GNP (Gross National Product): Includes income from abroad.
NNP (Net National Product): GNP – Depreciation.
Personal Income (PI): NNP – Corporate Taxes + Transfer Payments.
India’s GDP Calculation:

The Central Statistics Office (CSO) calculates GDP in real and nominal terms.
India shifted from GDP at factor cost to GDP at market price in 2015 for better international comparison.