Income Tax Calculator (India)
Compare your income tax under the old and new regimes for FY 2025-26 (AY 2026-27) or FY 2024-25, with the current slabs, the section 87A rebate, surcharge and the 4% cess — and see which regime leaves you better off.
How to use this income tax calculator
Choose your financial year, pick your age band (it only changes the old-regime basic exemption), and enter your gross total income for the year. Tick the salaried / pensioner box so the standard deduction is applied — ₹75,000 under the new regime and ₹50,000 under the old regime. Then enter the deductions you actually claim under the old regime: section 80C investments (life insurance, EPF, ELSS, PPF, principal on a home loan — capped at ₹1.5 lakh), 80D health-insurance premiums, home-loan interest on a self-occupied house (capped at ₹2 lakh under section 24(b)), the additional NPS deduction under 80CCD(1B) (capped at ₹50,000), your HRA exemption, and anything else.
The calculator applies the statutory caps automatically, works out the taxable income under each regime, runs the slab tax, subtracts the section 87A rebate where you qualify, adds surcharge (with marginal relief) and the 4% health and education cess, and shows the two totals side by side with the lower one flagged. The step-by-step table underneath shows exactly how each number is built, so you can see where the difference comes from.
A worked example
Take a salaried person with a gross income of ₹15,00,000 in FY 2025-26 who claims the full ₹1.5 lakh under 80C and ₹25,000 under 80D. Under the new regime, taxable income is ₹15,00,000 − ₹75,000 standard deduction = ₹14,25,000, and the tax works out to ₹93,750 plus 4% cess (about ₹97,500). Under the old regime, taxable income is ₹15,00,000 − ₹50,000 − ₹1,50,000 − ₹25,000 = ₹12,75,000, and the tax is higher because the old-regime rates are steeper. For this person the new regime wins — but add a ₹2 lakh home-loan interest claim and a large HRA exemption and the old regime can pull ahead. That break-even is exactly what the tool lets you find in seconds.
Who the new regime suits, and who the old regime suits
The new regime is the simpler path and is usually better for people who do not have a home loan, do not pay rent that qualifies for a large HRA exemption, and do not max out 80C — which describes a large share of early-career salaried taxpayers. The ₹12 lakh nil-tax threshold for FY 2025-26 is a significant shift: a salaried person earning up to ₹12.75 lakh pays no tax at all under the new regime after the standard deduction, with no investment required. The old regime still rewards people who legitimately claim large deductions — a home loan on a self-occupied property, substantial HRA in a metro, full 80C plus 80CCD(1B), and high 80D premiums for a family and parents. The honest answer for most people is "it depends on your deductions", and the only way to be sure is to compute both, which is what this page does.
This tool is an estimate for general guidance, not tax advice. It does not model special-rate income such as capital gains, nor every exemption and set-off. For capital gains use the capital gains calculator; for your advance-tax instalments use the advance tax calculator.
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Frequently asked questions
- Should I choose the old or the new tax regime for FY 2025-26?
- It depends entirely on how much you can deduct. The new regime (the default from FY 2023-24) has lower slab rates and a large section 87A rebate — for FY 2025-26, no tax is payable up to ₹12 lakh of taxable income (₹12.75 lakh for salaried people after the ₹75,000 standard deduction) — but it disallows almost every deduction: 80C, 80D, HRA, LTA and home-loan interest on a self-occupied house. The old regime has higher rates but lets you claim all of those. As a rule of thumb, the more you genuinely claim under 80C, HRA, home-loan interest and 80D, the more likely the old regime wins. This calculator runs both side by side on your actual numbers so you do not have to guess.
- What are the new-regime slabs for FY 2025-26?
- Per Budget 2025: nil up to ₹4,00,000; 5% on ₹4,00,001–₹8,00,000; 10% on ₹8,00,001–₹12,00,000; 15% on ₹12,00,001–₹16,00,000; 20% on ₹16,00,001–₹20,00,000; 25% on ₹20,00,001–₹24,00,000; and 30% above ₹24,00,000. A section 87A rebate of up to ₹60,000 makes the tax nil for taxable income up to ₹12,00,000, with marginal relief just above that so there is no sudden cliff.
- What are the old-regime slabs, and do they change by age?
- For taxpayers under 60: nil up to ₹2,50,000; 5% on ₹2,50,001–₹5,00,000; 20% on ₹5,00,001–₹10,00,000; 30% above ₹10,00,000. The basic exemption is higher for senior citizens — ₹3,00,000 for ages 60 to under 80, and ₹5,00,000 for 80 and above. A section 87A rebate of up to ₹12,500 makes the tax nil for taxable income up to ₹5,00,000. The old-regime slabs have not changed for FY 2024-25 or FY 2025-26.
- What is the difference between a financial year (FY) and an assessment year (AY)?
- The financial year is the year in which you earn the income — 1 April to 31 March. The assessment year is the following year, in which that income is assessed and the return is filed. So income earned in FY 2025-26 (1 April 2025 to 31 March 2026) is filed in AY 2026-27. Slab rates are always quoted for a financial year; this tool labels both so there is no ambiguity.
- Does this calculator include surcharge and cess?
- Yes. A 4% health and education cess is added to the tax (plus surcharge) under both regimes. Surcharge applies above ₹50 lakh of total income — 10% above ₹50 lakh, 15% above ₹1 crore, 25% above ₹2 crore, and 37% above ₹5 crore under the old regime (the new regime caps surcharge at 25%). The calculator applies statutory marginal relief so that a small amount of income over a threshold never costs more in tax than the extra income itself.
- Is the result tax advice I can file on?
- No. This is an estimate for general guidance, built on the published slabs for the financial year you select. It does not model every exemption, set-off, clubbing rule or special-rate income (such as capital gains), and your actual liability depends on facts only your return captures. Confirm your numbers with a chartered accountant before you file or pay.