Income Tax Calculator FY 2025-26 (AY 2026-27)
Calculate your income tax online for free. Instantly compare Old vs New Tax Regime, check your take-home salary, and see your slab-wise tax breakdown. Updated for Union Budget 2025.
Salary & Employment Income
Enter your CTC (Cost to Company) or gross annual salary before any deductions.
Other Income
Section 80 Deductions (Old Regime)
Max ₹25,000 (self) + ₹25,000 (parents) = ₹50,000. Senior citizen parents: ₹50,000.
📅 Monthly In-Hand Breakdown (Based on best regime)
📊 Slab-wise Tax Breakdown
How your tax is distributed across income slabs
Income Tax Calculator for FY 2025-26 (AY 2026-27) – Complete Guide
Our free Income Tax Calculator for India is updated for Financial Year 2025-26 (Assessment Year 2026-27) with all the changes announced in the Union Budget 2025. Whether you are a salaried employee, a freelancer, or a business owner, this calculator helps you instantly compare the Old Tax Regime vs New Tax Regime and find out which one saves you more money.
Key highlights of this calculator: real-time calculation as you type, slab-wise tax breakdown chart, monthly take-home salary, effective tax rate, and surcharge calculation for high-income earners — all in one place.
New Tax Regime Slab Rates for FY 2025-26 & FY 2026-27
The new tax regime is the default regime from FY 2023-24 onwards. For FY 2025-26 and FY 2026-27, the slab rates remain the same:
| Income Tax Slab | Tax Rate | Tax on Slab |
|---|---|---|
| Up to ₹4,00,000 | Nil | ₹0 |
| ₹4,00,001 – ₹8,00,000 | 5% | ₹20,000 |
| ₹8,00,001 – ₹12,00,000 | 10% | ₹40,000 |
| ₹12,00,001 – ₹16,00,000 | 15% | ₹60,000 |
| ₹16,00,001 – ₹20,00,000 | 20% | ₹80,000 |
| ₹20,00,001 – ₹24,00,000 | 25% | ₹1,00,000 |
| Above ₹24,00,000 | 30% | On the balance |
Old Tax Regime Slab Rates for FY 2025-26
The old tax regime has not changed in recent years. It offers higher tax rates but permits a range of deductions and exemptions that can reduce your taxable income significantly.
| Income Slab | Below 60 yrs | Senior (60–80) | Super Senior (80+) |
|---|---|---|---|
| Up to ₹2.5 Lakh | Nil | Nil | Nil |
| ₹2.5L – ₹3L | 5% | Nil | Nil |
| ₹3L – ₹5L | 5% | 5% | Nil |
| ₹5L – ₹10L | 20% | 20% | 20% |
| Above ₹10L | 30% | 30% | 30% |
How Much Tax Will You Pay? Income-wise Comparison
The table below shows how much tax you pay under both regimes at different income levels for a salaried individual (no deductions assumed under Old Regime):
| Gross Salary | New Regime Tax | Old Regime Tax | Savings (New) |
|---|---|---|---|
| ₹5 Lakh | ₹0 (Rebate) | ₹0 (Rebate) | ₹0 |
| ₹7.5 Lakh | ₹0 (Rebate) | ₹46,800 | ₹46,800 |
| ₹10 Lakh | ₹0 (Rebate) | ₹1,17,000 | ₹1,17,000 |
| ₹12.75 Lakh | ₹0 (Rebate) | ₹1,79,400 | ₹1,79,400 |
| ₹15 Lakh | ₹1,09,200 | ₹2,52,000 | ₹1,42,800 |
| ₹20 Lakh | ₹2,08,000 | ₹4,05,600 | ₹1,97,600 |
| ₹30 Lakh | ₹5,20,000 | ₹7,41,000 | ₹2,21,000 |
| ₹50 Lakh | ₹11,44,000 | ₹14,04,000 | ₹2,60,000 |
*Tax figures include 4% cess. Old Regime figures assume no deductions. Actual tax depends on deductions claimed.
New Tax Regime vs Old Tax Regime — Which is Better for You?
This is the most important question every taxpayer asks. The answer depends entirely on how much you invest and claim as deductions under the Old Regime.
Choose the New Tax Regime if:
- Your gross salary is below ₹12.75 lakh — you pay zero tax regardless
- You have minimal deductions (no HRA, no home loan, investments under ₹1.5 lakh)
- You prefer simpler tax filing without maintaining investment proofs
- Your employer has already set New Regime as default
Choose the Old Tax Regime if:
- You pay house rent and claim HRA (₹1 lakh+ annually)
- You have a home loan (claiming Section 24 interest up to ₹2 lakh)
- You invest ₹1.5 lakh under Section 80C (LIC, PPF, ELSS, PF, etc.)
- You pay health insurance premiums for family and parents (80D)
- Your total deductions exceed ₹3.75 lakh (the break-even threshold)
How to Use This Income Tax Calculator
- Step 1 – Basic Details: Select your Financial Year (FY 2025-26 or FY 2026-27) and your age group (Below 60, Senior Citizen 60–80, or Super Senior 80+).
- Step 2 – Income Details: Enter your gross annual salary, other income sources like interest income, rental income, freelancing income, and home loan interest (let-out property).
- Step 3 – Deductions: Enter your Section 80C investments, 80D health insurance, HRA exemption, home loan interest (self-occupied), and other deductions. These apply only under the Old Regime.
- Calculate: Click “Calculate Tax” to instantly see your tax under both regimes side-by-side, your monthly take-home salary, effective tax rate, and which regime saves you more.
What is Section 87A Rebate?
Section 87A of the Income Tax Act provides a tax rebate that effectively brings your tax to zero if your taxable income is within the specified limit:
| Regime | Taxable Income Limit | Maximum Rebate | Effective Result |
|---|---|---|---|
| New Tax Regime | Up to ₹12,00,000 | ₹60,000 | Zero Tax |
| Old Tax Regime | Up to ₹5,00,000 | ₹12,500 | Zero Tax |
📝 Example: Mr. Rahul — Salary ₹12.75 Lakh (New Regime)
| Gross Salary | ₹12,75,000 |
| Less: Standard Deduction | − ₹75,000 |
| Taxable Income | ₹12,00,000 |
| Tax on ₹4L–₹8L (5%) | ₹20,000 |
| Tax on ₹8L–₹12L (10%) | ₹40,000 |
| Total Slab Tax | ₹60,000 |
| Less: 87A Rebate | − ₹60,000 |
| Net Tax Payable | ₹0 (Zero!) |
Surcharge on Income Tax — Rates for FY 2025-26
Surcharge is an additional levy on your income tax (not on income), applicable when taxable income exceeds ₹50 lakh. It is calculated on the tax amount before adding 4% cess.
| Taxable Income Range | Surcharge Rate (Old) | Surcharge Rate (New) |
|---|---|---|
| Up to ₹50 Lakh | Nil | Nil |
| ₹50 Lakh – ₹1 Crore | 10% | 10% |
| ₹1 Crore – ₹2 Crore | 15% | 15% |
| ₹2 Crore – ₹5 Crore | 25% | 25% |
| Above ₹5 Crore | 37% | 25% (capped) |
After surcharge, 4% Health and Education Cess is added on (tax + surcharge) for all taxpayers.
Deductions Available Under Old vs New Tax Regime
| Deduction / Exemption | Old Regime | New Regime |
|---|---|---|
| Standard Deduction | ₹50,000 | ₹75,000 |
| Section 87A Rebate | ₹12,500 (up to ₹5L) | ₹60,000 (up to ₹12L) |
| 80C (LIC, PPF, ELSS, PF) | ✅ Up to ₹1.5L | ❌ Not allowed |
| HRA Exemption | ✅ Allowed | ❌ Not allowed |
| Home Loan Interest (Sec 24) | ✅ Up to ₹2L | ❌ Not allowed |
| Section 80D (Health Insurance) | ✅ Allowed | ❌ Not allowed |
| NPS Deduction 80CCD(1B) | ✅ Up to ₹50K | ❌ Not allowed |
| 80E (Education Loan Interest) | ✅ Allowed | ❌ Not allowed |
| Leave Travel Allowance (LTA) | ✅ Allowed | ❌ Not allowed |
Historical Tax Slab Changes — New Regime (FY 2023-24 to 2025-26)
| Income Range | FY 2023-24 | FY 2024-25 | FY 2025-26 |
|---|---|---|---|
| Up to ₹3L | Nil | Nil | — |
| Up to ₹4L | — | — | Nil (New!) |
| ₹3L–₹6L / ₹4L–₹8L | 5% | 5% | 5% |
| ₹6L–₹9L / ₹7L–₹10L / ₹8L–₹12L | 10% | 10% | 10% |
| 87A Rebate (New Regime) | ₹25,000 (up to ₹7L) | ₹25,000 (up to ₹7L) | ₹60,000 (up to ₹12L) |
| Standard Deduction | ₹50,000 | ₹75,000 | ₹75,000 |
Frequently Asked Questions (FAQ)
⚠️ Disclaimer: This Income Tax Calculator is for informational and planning purposes only. Tax calculations are based on Income Tax Act provisions for FY 2025-26 as updated post Union Budget 2025. Results are estimates and may vary based on individual circumstances. This tool does not constitute tax advice. Please consult a qualified Chartered Accountant (CA) for professional guidance and ITR filing. This website is not affiliated with or endorsed by the Government of India or the Income Tax Department.
