Income Tax Calculator India
Compare the Old Tax Regime (with deductions) vs the New Tax Regime (simplified slabs) to find the maximum saving — including 80C, HRA, 80D, NPS, and Standard Deduction.
Calculate Your Tax
Interest, capital gains, business, etc.
Sec 24(b). Max ₹2L for self-occupied (Old Regime).
Allowed in both regimes
Old vs New Tax Regime — FY 2025-26 Slabs
Under the new Income Tax Act 2025, the New Regime is the default. It offers lower slab rates and a higher basic exemption of ₹4 lakh, with a rebate that makes income up to ₹12.75 lakh effectively tax-free (after standard deduction). The Old Regime retains higher rates but allows generous deductions.
| Income Slab | New Regime Rate | Old Regime Rate (Below 60) |
|---|---|---|
| Up to ₹2.5 Lakh | 0% | 0% |
| ₹2.5L – ₹4 Lakh | 0% | 5% |
| ₹4L – ₹5 Lakh | 5% | 5% |
| ₹5L – ₹8 Lakh | 5% | 20% |
| ₹8L – ₹10 Lakh | 10% | 20% |
| ₹10L – ₹12 Lakh | 10% | 30% |
| ₹12L – ₹16 Lakh | 15% | 30% |
| ₹16L – ₹20 Lakh | 20% | 30% |
| ₹20L – ₹24 Lakh | 25% | 30% |
| Above ₹24 Lakh | 30% | 30% |
| Standard Deduction | ₹75,000 | ₹50,000 |
| Sec 87A Rebate Limit | ₹12 Lakh | ₹5 Lakh |
Key Income Tax Deductions Guide
1. Sec 80C & 80CCD(1B) (Old Regime)
- Section 80C: Deducts up to ₹1.5 Lakh for investments (PPF, ELSS, NSC, Life Insurance, home loan principal).
- Section 80CCD(1B): Allows an additional ₹50,000 for contributions to the National Pension System (NPS Tier-I). Separate from the ₹1.5 Lakh limit.
2. HRA Exemption (Section 10(13A))
Available exclusively under the Old Regime. The exempt amount is the minimum of:
- Actual HRA received from the employer.
- Actual rent paid minus 10% of Basic Salary + DA.
- 50% of Basic + DA (Metro) or 40% (Non-Metro).
3. Section 80D Health Insurance
- Max ₹25,000 for self, spouse, and dependent children.
- Max ₹50,000 for senior citizen parents.
- Total can reach ₹1,00,000 (₹50k self/family + ₹50k senior parents).
4. Interest Deductions (80TTA, 80TTB, 80E)
- 80TTA (Below 60): Up to ₹10,000 on savings account interest.
- 80TTB (Senior Citizen): Up to ₹50,000 on FD and savings interest.
- 80E (Education Loan): Full deduction on the interest component, no limit, up to 8 years.
5. New Regime Default (Sec 115BAC)
The New Regime removes most Old Regime deductions but allows:
- Standard Deduction: ₹75,000 from salary or pension.
- Sec 80CCD(2): Employer's NPS contribution (up to 14% of basic for govt, 10% for others).
- Sec 80CCH: Agniveer Corpus Fund contributions.
Tips to Save More Tax (FY 2025-26)
- Always run the "Compare Both" mode — the New Regime is best for many, but high-deduction earners often win with the Old Regime.
- Max out 80C with PPF, ELSS, EPF, and life insurance (Old Regime).
- Claim the extra ₹50,000 NPS deduction under 80CCD(1B) — a quick boost over 80C.
- Buy adequate health insurance for parents to claim ₹50,000 under 80D.
- Use HRA receipts properly if you pay rent and live in a city.
- For high incomes, plan for surcharge — capped at 25% under the New Regime.
- File ITR by July 31, 2026 to avoid Section 234F penalty.
Frequently Asked Questions
What are the key differences between the Old and New Tax Regimes?
The New Regime (default under ITA 2025) offers lower slab rates, ₹4 lakh basic exemption, and makes income up to ₹12.75 lakh tax-free (incl. standard deduction) — but you forego 80C, HRA, etc. The Old Regime has higher rates but lets you claim all your deductions.
What deductions are allowed under the New Regime?
Standard Deduction ₹75,000, Section 80CCD(2) employer NPS, and Section 80CCH (Agniveer). Most other Chapter VIA deductions are not allowed.
What is the ITR filing deadline for FY 2025-26?
July 31, 2026 for non-audit cases (AY 2026-27). Late filing attracts ₹5,000 penalty (₹1,000 if income < ₹5L) under Sec 234F.
Can I switch between Old and New regimes each year?
Salaried individuals — yes, every year at the time of ITR filing. Business/professional taxpayers can switch back only once in a lifetime.
What is Section 87A rebate?
A rebate that reduces tax to zero if taxable income is within the limit — ₹12 lakh under the New Regime, ₹5 lakh under the Old Regime.
How is surcharge calculated?
10% (income ₹50L–1Cr), 15% (₹1–2Cr), 25% (above ₹2Cr, capped under New Regime). The Old Regime has a 37% slab above ₹5Cr.