Income Tax Calculator: new regime vs old regime
This income tax calculator works out your FY 2026-27 tax (Tax Year 2026-27 under the Income-tax Act, 2025) under the new regime and the old regime side by side. Enter your salary and deductions to see slab-wise tax, the rebate under section 156 (earlier 87A), cess, monthly TDS (Tax Deducted at Source) and exactly how many rupees the better regime saves you.
More years after the next Budget.
Before any deduction. Standard deduction is applied automatically: ₹75,000 in the new regime, ₹50,000 in the old.
Interest, freelance or any other taxable income for the year.
Deductions, old regime only
The new regime allows only the standard deduction, so the fields below change your old regime tax alone.
Capped at ₹1,50,000.
₹25,000 limit for self and family below 60, ₹50,000 for senior citizens.
Use the HRA exemption calculator for the exact figure.
Capped at ₹2,00,000 for a self-occupied house.
Capped at ₹50,000, over and above the section 123 limit.
Enter the eligible deduction amount, 50% or 100% of the donation by institution.
Total tax for the year, side by side
Both regimes on one scale, so the longer bar is the costlier regime.
New regime (default)Lower tax
Monthly TDS ₹8,125
₹97,500
Old regime
Monthly TDS ₹17,550
₹2,10,600
- Hatched: the extra ₹1,13,100 the old regime costs for the year. That is what you save under the new regime.
New regime (default)
Lower taxTax from each slab of your taxable income
₹0 to ₹4L Nil
₹0
₹4L to ₹8L at 5%
₹20,000
₹8L to ₹12L at 10%
₹40,000
₹12L to ₹16L at 15%
₹33,750
| Slab | Amount | Rate | Tax |
|---|---|---|---|
| ₹0 to ₹4L | ₹4,00,000 | Nil | ₹0 |
| ₹4L to ₹8L | ₹4,00,000 | 5% | ₹20,000 |
| ₹8L to ₹12L | ₹4,00,000 | 10% | ₹40,000 |
| ₹12L to ₹16L | ₹2,25,000 | 15% | ₹33,750 |
Old regime
Tax from each slab of your taxable income
₹0 to ₹2.5L Nil
₹0
₹2.5L to ₹5L at 5%
₹12,500
₹5L to ₹10L at 20%
₹1,00,000
Above ₹10L at 30%
₹90,000
| Slab | Amount | Rate | Tax |
|---|---|---|---|
| ₹0 to ₹2.5L | ₹2,50,000 | Nil | ₹0 |
| ₹2.5L to ₹5L | ₹2,50,000 | 5% | ₹12,500 |
| ₹5L to ₹10L | ₹5,00,000 | 20% | ₹1,00,000 |
| Above ₹10L | ₹3,00,000 | 30% | ₹90,000 |
Slab bars: each bar is the tax on the part of your taxable income that falls in that slab, before any rebate, marginal relief, surcharge and cess. Both cards are drawn to one scale.
Maximum tax savings checklist
Unused old regime headroom at your marginal rate of 30% plus 4% cess. Each rupee impact is what you would cut from your old regime tax by using the full limit.
- Investments under section 123 (earlier 80C): PF, PPF, ELSS, life insurance, principal repaymentFully used
- NPS (National Pension System) under section 124(3) (earlier 80CCD(1B))₹50,000 left, saves up to ₹15,600
- Health insurance under section 126 (earlier 80D), self and family below 60₹25,000 left, saves up to ₹7,800
The slabs
Income tax slabs for FY 2026-27
Both slab tables below are for Tax Year 2026-27, straight from our versioned statutory config. The new regime under section 202 (earlier 115BAC) is the default; you opt in to the old regime.
New regime slabs (default)
| Taxable income | Rate | |
|---|---|---|
| ₹0 to ₹4 lakh | Nil | |
| ₹4 lakh to ₹8 lakh | 5% | |
| ₹8 lakh to ₹12 lakh | 10% | |
| ₹12 lakh to ₹16 lakh | 15% | |
| ₹16 lakh to ₹20 lakh | 20% | |
| ₹20 lakh to ₹24 lakh | 25% | |
| Above ₹24 lakh | 30% |
Old regime slabs
| Taxable income | Rate | |
|---|---|---|
| ₹0 to ₹2.5 lakh | Nil | |
| ₹2.5 lakh to ₹5 lakh | 5% | |
| ₹5 lakh to ₹10 lakh | 20% | |
| Above ₹10 lakh | 30% |
Old regime slabs shown for residents below 60. The old regime also allows deductions such as section 123 (earlier 80C) investments, health premiums, HRA and home loan interest.
The rules
Four rules that decide your final tax
How does the rebate under section 156 (earlier 87A) work?
New regime: taxable income up to ₹12,00,000 is effectively tax-free, because a rebate of up to ₹60,000 cancels the slab tax. Add the standard deduction and a salary of ₹12,75,000 pays nothing. Old regime: the rebate applies only up to ₹5,00,000 of taxable income, capped at ₹12,500.
What is the standard deduction?
A flat cut from salary income before tax, with no proofs required: ₹75,000 in the new regime and ₹50,000 in the old regime for FY 2026-27. The calculator above applies it automatically in each column, so enter your gross salary without adjusting for it.
When does surcharge apply?
| Taxable income | New regime | Old regime |
|---|---|---|
| ₹50 lakh to ₹1 crore | 10% | 10% |
| ₹1 crore to ₹2 crore | 15% | 15% |
| ₹2 crore to ₹5 crore | 25% | 25% |
| Above ₹5 crore | 25% | 37% |
The new regime caps surcharge at 25%, so the old regime's top 37% tier does not exist there. Surcharge is levied on the tax, not on income, and 4% cess applies on top of both.
What is marginal relief just above ₹12 lakh?
Cross ₹12,00,000 of taxable income by a small amount and the rebate vanishes, but marginal relief caps your tax at the amount by which income exceeds the limit. Example: at ₹12,10,000 taxable, slab tax is ₹61,500, relief of ₹51,500 cuts it to ₹10,000, and with cess you pay ₹10,400 in all.
Worked example
Rs 18 lakh salary, FY 2026-27: both regimes to the rupee
Gross salary of ₹18,00,000 with ₹1,50,000 of section 123 (earlier 80C) investments and no other deductions. Computed with the same engine as the calculator above.
Total tax for the year on a ₹18,00,000 salary
Both regimes on one scale, so the longer bar is the costlier regime.
New regime (default)Lower tax
Monthly TDS ₹12,567
₹1,50,800
Old regime
Monthly TDS ₹25,350
₹3,04,200
- Hatched: the extra ₹1,53,400 the old regime costs for the year. That is what you save under the new regime.
| Line | New regime | Old regime |
|---|---|---|
| Gross salary | ₹18,00,000 | ₹18,00,000 |
| Standard deduction | ₹75,000 | ₹50,000 |
| Investments, section 123 (earlier 80C) | Not allowed | ₹1,50,000 |
| Taxable income | ₹17,25,000 | ₹16,00,000 |
| Tax on slabs | ₹1,45,000 | ₹2,92,500 |
| Cess at 4% | ₹5,800 | ₹11,700 |
| Total tax | ₹1,50,800 | ₹3,04,200 |
| Monthly TDS | ₹12,567 | ₹25,350 |
The verdict
Frequently asked questions
Which regime is better for Rs 15 lakh salary?
For a Rs 15,00,000 salary in FY 2026-27, the new regime charges ₹97,500 while the old regime with the full ₹1,50,000 of section 123 (earlier 80C) investments charges ₹2,10,600. The new regime saves ₹1,13,100. The old regime only catches up if you can claim large HRA (House Rent Allowance), home loan interest and NPS deductions on top of that.
Is income up to Rs 12 lakh tax-free in the new regime for FY 2026-27?
Yes, effectively. The rebate under section 156 (earlier 87A), capped at ₹60,000, wipes out the tax on taxable income up to ₹12,00,000. For salaried people the ₹75,000 standard deduction stacks on top, so a salary of up to ₹12,75,000 pays zero tax in the new regime.
What is the standard deduction for FY 2026-27?
₹75,000 in the new regime and ₹50,000 in the old regime. It applies automatically to salary income, with no bills or proofs needed, and this calculator applies it for you in both columns.
Can I claim HRA and 80C in the new regime?
No. The new regime allows the standard deduction of ₹75,000 but not HRA exemption, section 123 (earlier 80C) investments, section 126 (earlier 80D) health premiums, home loan interest under section 22 (earlier 24(b)) for a self-occupied house, or section 133 (earlier 80G) donations. Those deductions only reduce your old regime tax, which is why this calculator shows both regimes side by side.
How is monthly TDS on salary calculated?
Your employer projects your full-year tax under your chosen regime, then deducts roughly one-twelfth of it from each month's salary as TDS (Tax Deducted at Source) under section 392 (earlier 192). This calculator shows that monthly figure for both regimes so you can check your payslip against it.
Do I have to choose a regime every year?
Salaried employees without business income can pick either regime each tax year. The new regime is the default: if you want the old regime, tell your employer at the start of the year and confirm the choice when you file your return.
Keep going
See the full picture of your salary
CTC to take-home calculator
Tax is one deduction of several. See your monthly in-hand after PF (Provident Fund), ESI, professional tax and TDS.
Calculate your take-homeHRA exemption calculator
Renting under the old regime? Work out the exact HRA exemption to enter in the calculator above.
Calculate your HRA exemptionPayroll by True HR
Running payroll for a team? We compute TDS under section 392 (earlier 192) for every employee, both regimes handled, filings before due dates.
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