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Income Tax Calculator FY 2025-26

Calculate your income tax for FY 2025-26 (AY 2026-27). Compare old vs new tax regime side by side. Includes Section 80C, 80D, HRA, home loan interest, and standard deduction.

Your Income

Annual Gross Salary (CTC excluding employer PF)
Other Income (interest, rent, etc.)
Tax Regime

New regime allows only Standard Deduction of ₹75,000 (FY 2025-26). No 80C, 80D, HRA, or home loan interest deductions apply.

Tax Calculation — New Regime

Gross Income₹15,00,000
Total Deductions− ₹75,000
Taxable Income₹14,25,000
Tax Before Rebate₹93,750
Health & Education Cess (4%)₹3,750
Total Tax Payable
₹97,500
Effective Rate
6.50%
Annual Take-Home (Post-Tax)
₹14,02,500

Slab-wise Breakdown

₹0 – ₹4,00,0000%₹0
₹4,00,000 – ₹8,00,0005%₹20,000
₹8,00,000 – ₹12,00,00010%₹40,000
₹12,00,000 – ₹16,00,00015%₹33,750

New vs Old Regime — Comparison

New Regime
₹97,500
Take-home: ₹14,02,500
Old Regime
₹2,02,800
Take-home: ₹12,97,200
Better Choice
New Regime
You save ₹1,05,300 per year

New Tax Regime FY 2025-26 (Default)

Under Budget 2025, the new tax regime became significantly more attractive. The basic exemption increased to ₹4 Lakh, and the Section 87A rebate was raised — making income up to ₹12 Lakh effectively tax-free for those choosing the new regime.

The new regime offers a flat standard deduction of ₹75,000 but disallows most other deductions (no 80C, no 80D, no HRA, no home loan interest). The trade-off: simpler taxes with lower rates, but you can't claim investment-based deductions.

Slabs under new regime: 0% up to ₹4L, 5% (₹4-8L), 10% (₹8-12L), 15% (₹12-16L), 20% (₹16-20L), 25% (₹20-24L), 30% above ₹24L.

Old Tax Regime — When It Still Wins

The old regime is better if you have substantial deductions: max 80C investments (₹1.5L), home loan interest (₹2L), HRA exemption (varies by city and rent), 80D health insurance (up to ₹1L), and NPS contribution (additional ₹50K under 80CCD-1B).

Old regime slabs: 0% up to ₹2.5L (₹3L for 60-80 age, ₹5L for 80+), 5% (₹2.5-5L), 20% (₹5-10L), 30% above ₹10L.

Rule of thumb: if your total deductions exceed ₹4 Lakh annually, the old regime usually wins. If you don't invest much in 80C, don't pay rent (HRA), and don't have a home loan, the new regime is almost always better.

Section 87A Rebate Explained

Section 87A is a tax rebate that effectively makes lower-income individuals tax-free even if their slab calculation shows tax. Under FY 2025-26:

  • New regime: Full rebate up to taxable income of ₹12 Lakh — meaning zero tax
  • Old regime: Full rebate up to taxable income of ₹5 Lakh

This is why a salary of ₹12.5 Lakh under the new regime actually pays minimal tax (only on the ₹50K above ₹12L).

Health & Education Cess

4% cess applies to your tax liability under both regimes. So if your tax (after rebate) is ₹50,000, the cess adds ₹2,000 — bringing total tax to ₹52,000.

This cess funds primary education and basic healthcare initiatives by the government.

Important: Tax Filing Tip

This calculator gives you an instant estimate. For final tax filing, use the official Income Tax Department portal at incometax.gov.in. The portal pre-fills your salary data via Form 26AS and AIS — making filing 10x easier than manual calculation.

Final advice: don't wait until July 31. File by June to avoid the rush, get refunds faster, and have time to fix errors if any.