Tax Calculator
AboutIndian salaried income tax for FY 2025-26 (AY 2026-27). Compares new vs old regime side-by-side with slabs, HRA, standard deduction, rebate u/s 87A, and surcharge with marginal relief at every threshold. Switch to Advancedto add 80C / 80D / 24(b) / NPS / education-loan deductions.
New regime
BestDeductions applied
- Standard deduction₹75,000
How the total is computed
- Base tax (from slabs)₹52,500
- − Section 87A rebateWipes out tax when taxable income is at or below the threshold.−₹52,500
- + Health & Education cess (4%)+₹0
- Total tax₹0
- Take-home100.0%₹12,00,000
Slab-wise breakdown
| Slab | Rate | Taxable | Tax |
|---|---|---|---|
| ₹0 – ₹4,00,000 | 0% | ₹4,00,000 | ₹0 |
| ₹4,00,000 – ₹8,00,000 | 5% | ₹4,00,000 | ₹20,000 |
| ₹8,00,000 – ₹12,00,000 | 10% | ₹3,25,000 | ₹32,500 |
| Base tax | ₹52,500 | ||
Old regime
Deductions applied
- Standard deduction₹50,000
- Professional tax₹2,500
- Total deductions₹52,500
How the total is computed
- Base tax (from slabs)₹1,56,750
- + Health & Education cess (4%)+₹6,270
- Total tax₹1,63,020
- Take-home86.4%₹10,36,980
- Income tax13.1%₹1,56,750
- Cess0.5%₹6,270
Slab-wise breakdown
| Slab | Rate | Taxable | Tax |
|---|---|---|---|
| ₹0 – ₹2,50,000 | 0% | ₹2,50,000 | ₹0 |
| ₹2,50,000 – ₹5,00,000 | 5% | ₹2,50,000 | ₹12,500 |
| ₹5,00,000 – ₹10,00,000 | 20% | ₹5,00,000 | ₹1,00,000 |
| ₹10,00,000 – ∞ | 30% | ₹1,47,500 | ₹44,250 |
| Base tax | ₹1,56,750 | ||
Notes & references
Tax year
- FY 2025-26 / AY 2026-27. New-regime slabs and rebate per Finance Act 2025 (Budget 2025).
Assumptions
- Basic salary defaults to 50% of (gross + bonus) for HRA + 80CCD(2) math. Override it in Advanced if your actual basic differs.
- City type for HRA defaults to metro (50% of basic). Switch to non-metro (40%) in Advanced.
- HRA exemption =
min(HRA received, rent − 10% of basic, 50% / 40% of basic). If rent paid is less than 10% of basic, the formula gives ₹0 — even when HRA received is large. - Health & Education cess of 4% is applied on (income tax + surcharge).
- Marginal relief is applied on 87A rebate (just above ₹12L taxable in new regime) and on each surcharge boundary (₹50L, ₹1Cr, ₹2Cr, ₹5Cr). Both are cess-inclusive here so take-home stays monotonic across the threshold.
Advanced deductions modelled (old regime)
- 80C + 80CCC + 80CCD(1): ₹1,50,000 combined cap (PF / PPF / ELSS / LIC / NSC / 5-yr FD / tuition / home-loan principal / Sukanya / ULIP).
- 80CCD(1B): ₹50,000 additional NPS (over and above the 80C cap).
- 80CCD(2) employer NPS: capped at 10% of basic (old) or 14% of basic (new) — allowed in BOTH regimes.
- 80D health insurance: ₹25,000 self-family + ₹25,000 parents; each side bumps to ₹50,000 if those persons are senior citizens (toggles).
- Section 24(b): self-occupied home-loan interest, capped at ₹2,00,000.
- 80E: education loan interest, no cap, 8-year window from start of repayment.
- 80G: donations — enter the net deductible amount (after the 50% / 100% rule per the donation type).
- 80TTA / 80TTB: savings (and FD if senior) interest — ₹10,000 non-senior / ₹50,000 senior.
New regime — what's allowed
- Section 16(ia) standard deduction (₹75,000 from FY 2024-25).
- Section 87A rebate up to ₹60,000 for taxable income ≤ ₹12L (with marginal relief beyond).
- 80CCD(2) employer NPS up to 14% of basic.
- Section 115BAC explicitly disallows everything else — HRA, LTA, 80C, 80D, 80E, 80G, 80TTA / 80TTB, 16(iii) PT, 24(b) on self-occupied, etc.
Tax law referenced
- Section 115BAC — New tax regime rules and disallowed deductions.
- Section 87A — Rebate for low income (₹60K up to ₹12L taxable in new regime; ₹12.5K up to ₹5L in old).
- Section 16(ia) — Standard Deduction (₹75K new / ₹50K old).
- Section 16(iii) — Professional tax, deductible only in old regime, capped at ₹2,500/year.
- Section 10(13A) — HRA exemption, available only in old regime.
Not modelled (yet)
- 80GG — rent paid when no HRA is received.
- 80EE / 80EEA — additional first-time-home-buyer interest (lapsed schemes for new loans).
- 80EEB — electric vehicle loan interest.
- 80DD / 80DDB / 80U — disability and specified-disease deductions.
- Let-out / second-property home loan interest (Section 24(b) without the ₹2L cap, with house-property loss set-off rules).
- Capital gains, business income, agricultural income, foreign income.
- Specific allowances (LTA, transport for disabled, food coupons, etc.).
- Surcharge cap of 25% on dividend / capital-gains components in new regime.
Official references
- incometax.gov.in — Income Tax e-Filing portal (file ITR, view Form 26AS).
- incometaxindia.gov.in — Income Tax Department (Acts, rules, circulars).
- indiabudget.gov.in — Union Budget (Finance Bill, Memorandum, slabs).
This calculator is for illustrative purposes only. Tax outcomes vary with state, exemptions, and individual circumstances. Consult a chartered accountant before filing your return.
Frequently asked questions
Should I choose the new tax regime or the old regime?
It depends on your deductions. The old regime rewards investments and exemptions (80C, 80D, HRA, home-loan interest); the new regime has lower slab rates but very few deductions. The simplest answer is to enter your salary here once — the calculator computes tax under both regimes side by side and tells you which is cheaper for your numbers.
Which financial year does this calculator use?
It uses the FY 2025-26 (assessment year 2026-27) rules for Indian salaried individuals, with the new regime as the default and the option to switch to the old regime.
Does it handle deductions like 80C, 80D, HRA and the standard deduction?
Yes. In the old regime you can enter 80C, 80D, HRA exemption and other common deductions; the standard deduction, rebate, surcharge and health-and-education cess are applied automatically. The new regime applies its own standard deduction and limited deduction set.
Is my salary information uploaded anywhere?
No. Every calculation runs in your browser and your inputs are saved only in your browser’s localStorage — nothing is sent to a server, and there is no login. Clear your site data to reset.
Is this a substitute for professional tax advice?
No. The numbers are illustrative estimates to help you plan and compare regimes. Confirm your actual liability with a chartered accountant or the official income-tax portal before filing.