India · Tax Year 2026-27 (Income Tax Act, 2025)
Calculate your income tax in seconds
Enter your annual income, pick a regime, and see your slab-wise tax, Section 87A rebate, cess and in-hand income update instantly — with a live comparison of Old vs New Tax Regime.
New Regime is better for you
Calculating your recommendation…
Old Tax Regime
Higher Tax
₹0
Tax payable incl. 4% cess
Gross income—
Standard deduction—
80C + HRA + NPS + 80D + 24(b)—
Taxable income—
Base tax—
87A rebate (≤ ₹5L)—
Total tax (+ 4% cess)—
New Tax Regime Default
Higher Tax
₹0
Tax payable incl. 4% cess
Gross income—
Standard deduction—
Taxable income—
Base tax—
87A rebate (≤ ₹12L)—
Total tax (+ 4% cess)—
Note: This calculator estimates tax for a resident individual (below 60 years) under Section 202 of the Income Tax Act, 2025 (New Regime — corresponds to the erstwhile Section 115BAC) and the Old Regime, for Tax Year 2026-27, including the rebate under Section 156 (formerly Section 87A) and marginal relief. It does not account for surcharge on very high incomes, senior citizen slabs, or special-rate income like capital gains. For your exact liability, consult a chartered accountant or use the official Income Tax e-filing utility.
Getting The Most From This Tool
How & Why to Use the Income Tax Calculator
Since Budget 2025, the New Regime is the default — but the Old Regime can still work out cheaper if you claim enough deductions. Here's how to use this tool properly, and why comparing both regimes matters.
How to Use This Calculator
Step 1
Enter your annual gross income
Type your total annual income before any deductions — this is usually the CTC-equivalent or gross salary shown on your Form 16 or payslip.
Step 2
Pick New Regime or Old Regime
The New Regime is selected by default since it's now the default option under the Income Tax Act. Switch to Old Regime to see how deductions change your tax.
Step 3
Add your deductions (Old Regime)
If comparing the Old Regime, fill in your actual 80C investments, health insurance premium, home loan interest and other eligible deductions.
Step 4
Check the regime comparison card
The "Old vs New Regime" card at the bottom of the results shows which regime saves you more tax for your exact numbers — no manual comparison needed.
Why You Need an Income Tax Calculator
Choosing a Regime
The right choice depends entirely on your deductions
Someone with high 80C, 80D and home loan interest claims can still save more under the Old Regime, even though the New Regime is now the default for most taxpayers.
Salary Negotiation
In-hand pay is what actually matters
A higher CTC doesn't always mean higher take-home pay once tax is applied — knowing your post-tax number helps you evaluate offers and increments accurately.
Section 87A Rebate
Zero tax up to ₹12 lakh isn't automatic
The ₹60,000 rebate under the New Regime only applies below a specific threshold, and marginal relief rules just above it are easy to miscalculate by hand.
Tax Planning
Plan investments before the financial year ends
Seeing your projected tax early in the year gives you time to plan 80C investments, health insurance, or NPS contributions before the March 31 deadline.
Freelancers & Consultants
Estimate advance tax instalments
Self-employed professionals can use the annual tax figure to work out quarterly advance tax payments and avoid interest under Sections 234B/234C.
Avoiding Surprises
No surprises at ITR filing time
A quick estimate through the year means your actual tax liability at filing time is rarely a shock — helping you avoid last-minute cash-flow stress.
Tax Regime Fundamentals
Old vs New Tax Regime — Explained
Since FY 2023-24, India has run two parallel tax systems. Here's how the two compare, and which one tends to suit different kinds of taxpayers.
New Regime (Default)
Lower slab rates with a ₹75,000 standard deduction, but almost no other deductions or exemptions — no 80C, 80D, or HRA. Automatically applied unless you opt for the Old Regime.
Tax-free up to ₹12.75 lakh salary
Best suited to taxpayers with few investments, no home loan, and no HRA to claim — most young salaried individuals fall into this category.
Old Regime (Opt-in)
Higher slab rates, but allows deductions like 80C (₹1.5L), 80D, HRA, home loan interest and more. You must actively choose it while filing your return.
Tax-free up to ₹5 lakh taxable income
Works better if your total eligible deductions are large enough to bring your taxable income meaningfully below the New Regime's effective threshold.
Which One Should You Choose?
As a rule of thumb, if your total deductions (80C + 80D + home loan interest + HRA) exceed roughly ₹4-4.5 lakh, the Old Regime often works out cheaper. Below that, the New Regime usually wins.
Compare both — don't assume
The exact break-even point shifts with your income level, so always run the actual numbers rather than relying on a rule of thumb.
Cess & Section 87A Rebate
A 4% Health & Education Cess is added on top of the computed tax under both regimes. Section 87A gives a full rebate — zero tax — below a set taxable-income threshold in each regime.
New: ₹12L threshold · Old: ₹5L threshold
Marginal relief also applies just above these thresholds, so tax doesn't jump sharply the moment you cross ₹12 lakh (New) or ₹5 lakh (Old).
Quick Reference · Tax Year 2026-27
Slab Rates & Deductions
The exact numbers this calculator runs on — at a glance.
Old Tax Regime — Slab Rates
Std. deduction ₹50,000 · Rebate up to ₹12,500 (income ≤ ₹5L)
₹0 – ₹2,50,000
Nil
₹2,50,001 – ₹5,00,000
5%
₹5,00,001 – ₹10,00,000
20%
Above ₹10,00,000
30%
New Tax Regime — Slab Rates
Std. deduction ₹75,000 · Rebate up to ₹60,000 (income ≤ ₹12L)
₹0 – ₹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%
Tax Deductions Guide
Which deductions apply under each regime — most are Old Regime only, but a couple carry over to the New Regime too.
Old TaxSection 80C — PF, ELSS, LIC, PPF, Home Loan Principal
Up to ₹1,50,000
Old TaxSection 80D — Health Insurance Premium
Up to ₹25,000 (₹50,000 for senior parents)
Old TaxSection 24(b) — Home Loan Interest
Up to ₹2,00,000
Old TaxHRA — House Rent Allowance Exemption
Least of 3 formula-based limits
Old TaxSection 80CCD(1B) — Additional NPS
Up to ₹50,000
Old TaxSection 80TTA — Savings Account Interest
Up to ₹10,000
BothSection 80CCD(2) — Employer's NPS Contribution
Up to 14% of basic salary
BothStandard Deduction
₹50,000 (Old) · ₹75,000 (New)
