A field experiment was conducted during the rainy season of 1993, 1994 and 1995 to study the performance of different genotypes of basmati rice (Oryza sativa L.) under different levels of nitrogen. A marked increase in all the growth and yield-attributing characters except 1,000-grain weight was observed with an increase in N level over the control. Significantly linear increase in grain yield was recorded up to 90 kg N/ha and thereafter the increase in grain yield was marginal. The increase in grain yield at 30, 60, 90 and 120 kg N/ha over the control was 12.9, 22.3, 28.5 and 31.1% respectively. Response at 30 kg N/ha was maximum (9.3 kg grain/kg N). Among test varieties,'HKR 228' showed superiority to other varieties for panciels/m(2) and hence the higher grain yield. 'HKR 228' gave the highest net return and benefit :cost ratio at its economical optimum level of N.