About the India Income Tax Calculator
This India income tax calculator works out your income tax for FY 2026-27 (tax year 2026-27) under both the new tax regime and the old tax regime, and tells you which one costs less. The Finance Bill 2026 made no change to the slabs, so the same figures also apply to FY 2025-26 (assessment year 2026-27). It applies the slabs introduced in Budget 2025, the ₹75,000 standard deduction for salaried people in the new regime (₹50,000 in the old), the Section 87A rebate that makes income up to ₹12 lakh tax-free under the new regime, surcharge with marginal relief and the 4% health and education cess.
Enter your gross salary and other income, then the deductions you can claim under the old regime — Section 80C investments (up to ₹1.5 lakh), 80D health insurance, the exempt part of your HRA, home-loan interest on a self-occupied house (up to ₹2 lakh) and others such as 80CCD(1B) NPS. Employer NPS contributions under 80CCD(2) are deducted in both regimes. From 1 April 2026 the Income-tax Act, 2025 replaces the 1961 Act and renumbers these provisions (the new regime, for example, is now section 202); the calculator keeps the familiar 1961 section names because the limits carry over.
Use it before submitting your regime choice to your employer, while planning tax-saving investments, or when filing your return. Capital gains taxed at special rates, agricultural income and business income are not covered, and the result is an estimate — your Form 16 and the income-tax portal are the final word.
With the default inputs, the lowest tax payable is ₹97,500.00. Change any value above to recalculate instantly.
How to use the india income tax calculator
- 1Enter your gross annual salary and any other income.
- 2Choose your age group and whether the standard deduction applies.
- 3Enter employer NPS contributions, if any.
- 4Enter the old-regime deductions you can claim: 80C, 80D, HRA, home-loan interest and others.
- 5Compare the tax under each regime and pick the lower one.
Formula and method
New regime slabs for FY 2026-27 (unchanged from FY 2025-26): nil up to ₹4 lakh, 5% to ₹8 lakh, 10% to ₹12 lakh, 15% to ₹16 lakh, 20% to ₹20 lakh, 25% to ₹24 lakh and 30% above. The Section 87A rebate cancels tax when taxable income is ₹12 lakh or less, with marginal relief so tax never exceeds the income above ₹12 lakh. Old regime slabs: nil up to ₹2.5 lakh (₹3 lakh for seniors, ₹5 lakh for 80+), 5% to ₹5 lakh, 20% to ₹10 lakh and 30% above, with a rebate of up to ₹12,500 when taxable income is ₹5 lakh or less.
Surcharge is 10% above ₹50 lakh, 15% above ₹1 crore, 25% above ₹2 crore and (old regime only) 37% above ₹5 crore, with marginal relief so the extra tax never exceeds the extra income over the threshold. Cess of 4% is added to tax plus surcharge.
- Standard deduction
- ₹75,000 (new) or ₹50,000 (old) for salaried taxpayers and pensioners
- Deductions
- 80C, 80D, HRA, home-loan interest, etc. (old regime); employer NPS in both
- Cess
- 4% health and education cess on tax plus surcharge
Worked examples
₹15 lakh salary with ₹1.75 lakh of 80C/80D deductions
New regime taxable income is ₹14,25,000; slab tax is ₹93,750 plus ₹3,750 cess = ₹97,500. The old regime, after the ₹50,000 standard deduction and ₹1,75,000 of deductions, taxes ₹12,75,000 at ₹1,95,000 plus cess = ₹2,02,800. The new regime saves ₹1,05,300.
₹12.75 lakh salary — zero tax under the new regime
After the ₹75,000 standard deduction, taxable income is exactly ₹12 lakh. Slab tax of ₹60,000 is fully cancelled by the Section 87A rebate, so no tax is due under the new regime.
Marginal relief just above ₹12 lakh
Taxable income of ₹12,10,000 would attract ₹61,500 of slab tax, but marginal relief limits tax to the ₹10,000 earned above ₹12 lakh. With 4% cess the bill is ₹10,400.
₹60 lakh salary with heavy old-regime deductions
New regime: ₹59,25,000 taxable gives ₹13,57,500 of slab tax plus a 10% surcharge of ₹1,35,750 and cess — ₹15,52,980. The old regime, with ₹8.25 lakh of deductions, leaves ₹51,25,000 taxable: ₹13,50,000 of slab tax, and marginal relief trims the surcharge to ₹87,500 because income is only ₹1.25 lakh over ₹50 lakh. With cess the old regime costs ₹14,95,000 and wins by ₹57,980.
Frequently asked questions
What are the new tax regime slabs for FY 2026-27?+
The Finance Bill 2026 kept the FY 2025-26 slabs: nil up to ₹4 lakh, 5% from ₹4–8 lakh, 10% from ₹8–12 lakh, 15% from ₹12–16 lakh, 20% from ₹16–20 lakh, 25% from ₹20–24 lakh and 30% above ₹24 lakh, plus 4% cess.
Is income up to ₹12 lakh tax-free?+
Under the new regime, yes: the Section 87A rebate of up to ₹60,000 wipes out tax when taxable income is ₹12 lakh or less. For salaried people the ₹75,000 standard deduction lifts this to ₹12.75 lakh of salary. Special-rate income such as capital gains does not get the rebate.
Which is better, the old or the new tax regime?+
The new regime is better for most people since Budget 2025 widened its slabs. The old regime can win only if you claim large deductions — typically well over ₹5–8 lakh in 80C, 80D, HRA and home-loan interest combined, depending on income.
Can I switch between the old and new regimes?+
Salaried individuals without business income can choose the regime every year when filing the return. Taxpayers with business or professional income can switch back to the old regime only once.
Which deductions are allowed in the new regime?+
The new regime allows the ₹75,000 standard deduction, employer NPS contributions under 80CCD(2), family pension deduction and a few others. 80C, 80D, HRA and self-occupied home-loan interest are not allowed.
What is the surcharge on income tax?+
Surcharge is extra tax for high earners: 10% above ₹50 lakh, 15% above ₹1 crore, 25% above ₹2 crore and, in the old regime only, 37% above ₹5 crore. Marginal relief prevents a sudden jump at each threshold.
Tax results are estimates based on published rules and simplified assumptions. They are not tax advice — check official guidance or a tax professional for your situation.