Income Tax Calculator India

What this tool does

The Income Tax Calculator India computes tax for a resident individual under both regimes for FY 2025-26 side by side. It applies the new slabs with tax-free income up to ₹12 lakh through the 87A rebate, old-regime deductions such as 80C, 80D, HRA, home-loan interest and NPS, surcharge with marginal relief and 4% cess.

For FY 2025-26 (AY 2026-27) individuals choose between two regimes. The new regime, the default, has slabs of nil up to ₹4 lakh, 5% to ₹8 lakh, 10% to ₹12 lakh, 15% to ₹16 lakh, 20% to ₹20 lakh, 25% to ₹24 lakh and 30% above, a ₹75,000 standard deduction for salaried people, and a section 87A rebate that makes tax nil up to ₹12 lakh of taxable income. The old regime keeps lower exemption limits (₹2.5 lakh, or ₹3 lakh and ₹5 lakh for seniors), slabs of 5%, 20% and 30%, a ₹50,000 standard deduction and deductions such as 80C, 80D, HRA and home-loan interest.

This calculator runs both computations together. It applies the 87A rebate with marginal relief just above ₹12 lakh in the new regime, the ₹12,500 rebate up to ₹5 lakh in the old regime, surcharge at 10%, 15% and 25% above ₹50 lakh, ₹1 crore and ₹2 crore (37% above ₹5 crore in the old regime only) with marginal relief, and 4% health and education cess. It is an estimate for planning: verify the final figure with the Income Tax Department’s utilities or a tax professional.

How to use Income Tax Calculator India

1. Enter your gross annual salary and keep the standard deduction toggle on if you are salaried or a pensioner.
2. Add any other income taxed at slab rates, such as interest or rent after its standard deduction.
3. Select your age group, which changes the old-regime exemption limit.
4. Fill in old-regime deductions: 80C, 80D, HRA exemption, home-loan interest, NPS 80CCD(1B), others and professional tax.
5. Add any employer NPS contribution, which is deductible in both regimes.
6. Compare the tax under each regime and read the lower-tax option and the yearly saving.
7. Review the side-by-side table and download it as CSV.

Tips for better results

• If your old-regime deductions are small, the new regime is usually cheaper for salaries up to about ₹15 lakh.
• Salaried people can switch regimes every year when filing their return; business owners have limited switching.
• Ask your employer to contribute to NPS under 80CCD(2); it reduces taxable income even in the new regime.
• Use the HRA calculator first and enter its exempt amount here.

Common use cases

• Choosing a regime when your employer asks for your declaration in April.
• Estimating tax before accepting a new salary offer.
• Deciding whether extra 80C investments are worth it under the old regime.
• Planning advance tax on interest or rental income.

Common mistakes to avoid

• Claiming 80C, HRA or home-loan interest in the new regime, where they are not allowed.
• Forgetting that the ₹12 lakh nil-tax limit applies to taxable income after the standard deduction, so a ₹12.75 lakh salary is tax-free.
• Applying the 87A rebate to capital gains taxed at special rates, which it does not cover.
• Leaving out the 4% cess, which applies on tax plus surcharge.