Income Tax in India — Slabs, Regimes & Filing

For a resident individual under the new regime, yes — the Section 87A rebate makes the tax payable nil where taxable income is up to Rs 12 lakh. For a salaried person, the Rs 75,000 standard deduction means gross salary up to about Rs 12.75 lakh can result in zero tax. The old regime does not have this Rs 12 lakh nil-tax band.

Under the new regime the basic exemption limit is Rs 4 lakh for AY 2026-27; under the old regime it is Rs 2.5 lakh (Rs 3 lakh for senior citizens 60+ and Rs 5 lakh for super-senior 80+). Below the exemption limit no tax is due, though you may still need to file in certain specified situations.

The standard deduction is Rs 75,000 under the new regime and Rs 50,000 under the old regime for salaried individuals and pensioners for FY 2025-26. It is subtracted from salary income before applying the slab rates and needs no proof or investment.

It depends on your deductions. If you claim large deductions — full 80C, 80D, HRA and home-loan interest — the old regime can save more. If your deductions are modest, the new regime's lower rates, Rs 75,000 standard deduction and the Rs 12 lakh nil-tax rebate usually win. Compare both with your actual figures before choosing.

The new tax regime is the default. If you want the old regime (to claim 80C, HRA and other deductions), you must actively opt for it. Salaried taxpayers without business income can switch between regimes each year; those with business income face restrictions on switching back.

No. Section 80C, 80D, 80CCD(1B), HRA exemption and home-loan interest under Section 24(b) are not available in the new regime. The new regime allows only a limited set — the standard deduction, the employer NPS contribution under 80CCD(2) and the 80JJAA employment deduction. To claim 80C and HRA you must use the old regime.

Section 80C allows a deduction of up to Rs 1.5 lakh a year for investments and expenses such as PPF, ELSS, EPF, life-insurance premium, home-loan principal and tuition fees. It is a combined ceiling with 80CCC and 80CCD(1), and is available only under the old regime.

Yes, under the old regime. Interest on a home loan for a self-occupied house is deductible up to Rs 2 lakh a year under Section 24(b), and the principal repayment counts within the Rs 1.5 lakh 80C limit. Under the new regime, home-loan interest on a self-occupied property is not deductible.

It depends on the form. Non-audit ITR-1 and ITR-2 filers were due 31 July 2026; non-audit ITR-3 and ITR-4 filers - business and professional income, freelancers and presumptive filers - had until 31 August 2026. For taxpayers subject to a tax audit it is 31 October 2026, and for transfer-pricing cases 30 November 2026. Filing after your own due date attracts a late fee and interest.

Salaried residents with income up to Rs 50 lakh and one house use ITR-1 (Sahaj). Those with capital gains, more than one house or foreign income (but no business) use ITR-2. Individuals with business or professional income use ITR-3, and those under presumptive taxation use ITR-4 (Sugam). Choosing the correct form avoids defective-return notices.

Usually no, but you must still file in specified situations — for example if you deposited over Rs 1 crore in current accounts, spent over Rs 2 lakh on foreign travel, incurred over Rs 1 lakh on electricity, hold foreign assets or income, or want to claim a refund of TDS. Filing also helps as income proof for loans and visas.

Yes. You can file using salary slips, your bank statements, the Annual Information Statement (AIS) and Form 26AS to compile income and TDS details. Form 16 is a convenience, not a legal requirement, but you should reconcile your figures with AIS and 26AS before filing.

A late-filing fee under Section 234F of up to Rs 5,000 applies for a belated return (Rs 1,000 if total income is below Rs 5 lakh). Interest under Sections 234A, 234B and 234C also applies on any unpaid tax. Filing on time avoids these charges and keeps your refund and carry-forward of losses intact.

Log in to the income-tax e-filing portal and check "Refund/Demand Status", or track it on the NSDL/Protean refund page using your PAN and assessment year. Refunds are credited to your pre-validated bank account after the return is processed; mismatches in bank details or return processing are the common causes of delay.

Advance tax is income tax paid in instalments during the year rather than as a lump sum at year end. Any taxpayer whose total tax liability for the year (after TDS) is Rs 10,000 or more must pay it in four instalments (June, September, December and March). Salaried individuals with only salary income usually have it covered by TDS.