Income Tax Calculator
Compare the old and new tax regime live — salary, deductions, surcharge, cess and 87A rebate, all in one screen.
- Free — no sign-up
- Instant, on-screen results
- Built by our CA · CS team
- Rules cited on the page
Enter your figures — the result on the right updates as you type.
Slab-wise breakdown
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Disclaimer: Indicative estimate for individual residents. Actual tax may vary with exemptions, capital gains and special-rate income. Rates per Finance Act 2025.
Budget 2025 — what changed in the new regime
The new tax regime is now the default. For FY 2026-27, the rebate under Section 87A was raised so a resident individual pays zero tax up to ₹12 lakh of taxable income — and with the ₹75,000 standard deduction, salaried people are effectively tax-free up to ₹12.75 lakh.
Income tax slabs — FY 2026-27
Pick the regime that gives you the lower tax. The new regime has lower rates but almost no deductions; the old regime has higher rates but lets you claim 80C, 80D, HRA and home-loan interest.
| Up to ₹4,00,000 | Nil |
| ₹4,00,001 – ₹8,00,000 | 5% |
| ₹8,00,001 – ₹12,00,000 | 10% |
| ₹12,00,001 – ₹16,00,000 | 15% |
| ₹16,00,001 – ₹20,00,000 | 20% |
| ₹20,00,001 – ₹24,00,000 | 25% |
| Above ₹24,00,000 | 30% |
| Up to ₹2,50,000 | Nil |
| ₹2,50,001 – ₹5,00,000 | 5% |
| ₹5,00,001 – ₹10,00,000 | 20% |
| Above ₹10,00,000 | 30% |
How income tax is calculated
Add up all income → subtract the standard deduction (and old-regime deductions) → apply the slab rates → apply the 87A rebate if eligible → add surcharge (high income) and a 4% cess. Here is what a salaried person pays under each regime (new regime, standard deduction only):
Key terms explained
Standard deduction
A flat deduction from salary — ₹75,000 in the new regime and ₹50,000 in the old regime for FY 2026-27. No proof needed; it applies automatically to salary and pension income.
Section 87A rebate
A rebate that makes tax nil for lower incomes — up to ₹12L taxable in the new regime (rebate up to ₹60,000) and up to ₹5L in the old regime (up to ₹12,500).
Surcharge
An extra levy on high incomes — 10% above ₹50L, 15% above ₹1Cr, 25% above ₹2Cr. The new regime caps surcharge at 25% (the old regime can reach 37%).
Health & education cess
A flat 4% charged on the total of tax plus surcharge, in both regimes. It funds health and education programmes and is not optional.
How the Income Tax Calculator works
4 steps, start to finish — the same order the tool follows.
- 01Enter your gross annual income (salary + other sources).
- 02Add deductions — 80C, 80D, HRA, home-loan interest, NPS.
- 03The tool computes tax under both old and new regimes.
- 04Compare side-by-side and pick the regime that saves more.
Questions people ask
Short answers on Income Tax Calculator. Tap a question to open it.
01Which tax regime is better for FY 2025-26?
The new regime is now the default and is better for most people because of the higher ₹12.75L zero-tax threshold and lower slab rates. The old regime still wins if your deductions (80C, HRA, home-loan interest, 80D) are large — typically above ₹3.75L–₹4L.
02What is the basic income tax exemption limit for FY 2026-27?
Under the new tax regime, no tax is payable on income up to Rs 12,00,000 due to the rebate under Section 87A (available for income up to Rs 12 lakh). Under the old tax regime, the basic exemption limit is Rs 2,50,000 (Rs 3,00,000 for senior citizens, Rs 5,00,000 for super senior citizens).
03Is income up to ₹12 lakh really tax-free?
Under the new regime for FY 2025-26, a resident individual pays nil tax up to ₹12L taxable income due to the Section 87A rebate; with the ₹75,000 standard deduction, salaried people are effectively tax-free up to ₹12.75L.
04What is the standard deduction for salaried employees in FY 2026-27?
Salaried employees get a standard deduction of Rs 75,000 under the new tax regime and Rs 50,000 under the old tax regime for FY 2026-27. This deduction is automatically available without any documentation or proof.
05What deductions are allowed in the new regime?
Very few — the ₹75,000 standard deduction and employer NPS (80CCD(2)) are the main ones. Popular deductions like 80C, 80D, HRA and home-loan interest on a self-occupied house are NOT available in the new regime.
06What is the surcharge applicable on income tax in India?
Surcharge applies at 10% on income between Rs 50 lakh and Rs 1 crore, 15% on Rs 1 crore to Rs 2 crore, 25% on Rs 2 crore to Rs 5 crore, and 37% (only in old regime) or 25% (new regime) on income above Rs 5 crore. Health and Education Cess of 4% is levied on tax plus surcharge.
07Does this calculator include surcharge and cess?
Yes. It applies surcharge (10%–37% by income band, capped at 25% in the new regime) and the 4% health & education cess on top of the base tax.
08Which tax regime is better — old or new?
The new tax regime is generally better if deductions and exemptions claimed are less than Rs 3.75 lakh (for income up to Rs 15 lakh). If you have significant HRA, home loan interest, 80C, 80D investments, the old regime may save more tax. Use the new-vs-old calculator to compare for your specific situation.
09What is the due date for filing income tax return for salaried employees?
For individuals with salary income not requiring a tax audit, the ITR due date is 31 July following the end of the financial year. For FY 2026-27 (AY 2027-28), the due date is 31 July 2027. A belated return can still be filed after that with a late fee of up to Rs 5,000 (Rs 1,000 if total income is up to Rs 5 lakh).
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Disclaimer: This tool gives indicative results for general guidance only and is not professional advice. Please verify with a qualified CA before acting on the numbers.