I have an offer for 40L and I'm currently being paid 28L

They may match the offer or they may give you an offer higher than your current and lower than what you are getting at the new place.

The choice will be yours.

There's a third possibility that they may not match the offer but then they will know that you tried to look elsewhere.

So if the third option happens then accept the offer and have faith in yourself & the divine power (assuming you are not an atheist) that you will get a similar or more amazing culture & growth opportunity than what you have at the current job.

Going to be very brutal here. Answer yourself not us: -are your skills special and hard to find (say are you a data scientist or a genAI prompt engineer?). If not, you are replaceable.
-do you see a growth in your current company. If not, you may as well do a lateral move with a new better offer.
-is your current manager and skip manager great to work with? Are you happy? Do they inspire you to grow and expand?
-In the new company: Also do a bit of background check on the manager + team’s relevance in the org.

• is the new company better positioned for future ? Say it is a sunrise industry ? -lastly you current org may retain you with the salary for now. But what’s been the historical appraisal like?
• jumps of 30% or higher don’t come often. Prioritize yourself and your personal happiness, wealth goals and learning .

Sharing my exp, pardon if it doesn’t resonate:
I say this with experience. Was in a tech giant (sales) for 10 years right fresh out of B school. Loved the company- the travel, employee bonding, 5 star treatment to top sales performers, perks - enjoyed that almost every year. It also meant I was grinding mon-sat (though no one asked but it was understood).

During covid, just out of boredom an ex colleague referred me to another tech giant (cloud/ Saas giant) - I thought let’s see where I stand in the market (I had no interest) . Cleared 7 rounds. offer came in. Fell of the chair with the hike (crazy). My current co would never match it. Didn’t even attempt. Getting into the sunrise industry piqued me. Left on a good note.

Fast forward today: happy, salary is great, work culture is great. No weekend sales pressure. Internal process - a bit broken, perks - not great, celebration and recognizing top talent - nope. An email and a call out is the best.
Do I regret - never. Do I miss my ex co - yes the good times. Would I go back - mostly no.

Most importantly, even if my ex would had met the salary, it would not be sustainable.

Switch

techstack? Yoe?