Income Tax Calculator
Calculate your income tax instantly and compare your liability under the old and new tax regimes for FY 2025-26 (AY 2026-27). Enter your income and deductions to see which regime saves you more.
Income
Deductions
HRA Exemption
Total Tax (Old Regime)
₹ 0
Total Tax (New Regime)
₹ 0
What This Income Tax Calculator Does
This Income Tax Calculator compares your tax liabilities under the existing and new tax regimes for FY 2025–2026 (AY 2026–2027) so you can determine which is most advantageous. Your salary and other income, qualified deductions, HRA exemption, standard deduction, Section 87A rebate, surcharge, and the 4% health and education cess are all taken into consideration.
Budget 2026 retained the slab structure introduced in Budget 2025, so these same rates also apply to FY 2026-27.
How to Use This Calculator
- Select your assessment year and age category. Age affects the old-regime exemption limit for senior and super-senior citizens.
- Enter your income. Add your gross salary and any income from other sources, interest, or house property.
- Add your deductions. Under Deductions, enter amounts under 80C, 80D, NPS, and others — these apply to the old regime.
- Fill in HRA details if you rent. Enter basic, DA, HRA received, and rent paid to calculate your HRA exemption under the old regime.
- Compare the two result cards. The tool shows your total tax under the old and new regimes so you can choose the lower one.
New Regime Tax Slabs for FY 2025-26
The new regime is the default and uses these slabs for all individuals, regardless of age:
- Up to ₹4,00,000 — Nil
- ₹4,00,001 to ₹8,00,000 — 5%
- ₹8,00,001 to ₹12,00,000 — 10%
- ₹12,00,001 to ₹16,00,000 — 15%
- ₹16,00,001 to ₹20,00,000 — 20%
- ₹20,00,001 to ₹24,00,000 — 25%
- Above ₹24,00,000 — 30%
A standard deduction of ₹75,000 applies to salaried individuals, and a Section 87A rebate of up to ₹60,000 makes taxable income up to ₹12,00,000 effectively tax-free. For salaried people, the standard deduction pushes the tax-free salary to roughly ₹12.75 lakh. See the full income tax slabs guide for details.
Old vs New Regime: Which Should You Choose?
The choice comes down to how many deductions you claim:
- New regime — lower rates and a bigger rebate, but you cannot claim most deductions such as 80C, 80D, or HRA.
- Old regime — higher rates and a ₹50,000 standard deduction, but you can reduce taxable income through 80C, 80D, HRA, and home-loan interest.
If you claim large deductions, the old regime can still win; otherwise the new regime usually results in lower tax. Our guide on the old vs new tax regime works through detailed examples.
Understanding Deductions and Rebate
Under the old regime, the calculator stops each deduction at its legal ceiling — 80C at ₹1.5 lakh, and the extra NPS deduction under 80CCD(1B) at ₹50,000. From there, the Section 87A rebate can wipe out your tax entirely: up to ₹5 lakh of taxable income under the old regime, or up to ₹12 lakh under the new one. And if you land just over that new-regime line, marginal relief kicks in so the tax on the bit above ₹12 lakh never ends up larger than the income itself.
For related concepts, see our glossary entries on professional tax, deductions, and gross salary, and our guide to TDS.
Plan Your Whole Salary
Tax is one part of your pay. To see your complete take-home after all deductions, use the CTC Calculator, check your provident fund with the EPF Calculator, or work out statutory insurance with the ESI Calculator. For businesses, TankhaPay's payroll software automates tax, TDS, and compliance for every employee.
FAQs
01. Which is better, the old or new tax regime?
It depends on your deductions. The new regime has lower rates and a higher rebate but disallows most deductions like 80C and HRA. The old regime has higher rates but lets you claim those deductions. If you claim large deductions, the old regime may save more; otherwise the new regime is usually better. This calculator shows both so you can compare.
02. How much income is tax-free under the new regime for FY 2025-26?
Under the new regime for FY 2025-26 (AY 2026-27), taxable income up to ₹12 lakh attracts a full rebate under Section 87A, so the tax is nil. For salaried individuals, the ₹75,000 standard deduction pushes the effective tax-free salary up to about ₹12.75 lakh.
03. What are the new regime tax slabs for FY 2025-26?
Income up to ₹4 lakh is nil, ₹4-8 lakh at 5%, ₹8-12 lakh at 10%, ₹12-16 lakh at 15%, ₹16-20 lakh at 20%, ₹20-24 lakh at 25%, and above ₹24 lakh at 30%. A 4% health and education cess applies on the tax.
04. What is the standard deduction for FY 2025-26?
The standard deduction for salaried individuals is ₹75,000 under the new regime and ₹50,000 under the old regime. It is applied automatically to salary income before tax is calculated.
05. What is marginal relief under Section 87A?
If your taxable income is slightly above ₹12 lakh under the new regime, marginal relief ensures the extra tax you pay is not more than the income exceeding ₹12 lakh. This prevents a sharp jump in tax just because income crossed the rebate threshold.
06. Is the TankhaPay Income Tax Calculator free to use?
Yes. The Income Tax Calculator is completely free and requires no login. Enter your income and deductions to compare your tax under both the old and new regimes instantly.