Income tax calculator 2026-27
Compare the new and old regime and see exactly how your tax is worked out.
₹12,00,000 (12 lakh) · Standard deduction is applied for you
Only income taxed at slab rates
Allowed in both regimes
Deductions for the old regime (optional)
Up to ₹1,50,000
Up to ₹25,000, or ₹50,000 for seniors, plus parents
Use the HRA calculator to work this out
Up to ₹2,00,000
Up to ₹50,000
Up to ₹2,500
Total of other eligible deductions
Limits are applied automatically. These deductions are not allowed in the new regime.
New regime
Lower tax₹0
₹0 a month · 0.00% of income
Saves ₹1,63,800 a year
Old regime
₹1,63,800
₹13,650 a month · 13.65% of income
New regime: how it’s worked out
- Gross income
- ₹12,00,000
- − Standard deduction
- ₹75,000
- Taxable income (rounded to ₹10)
- ₹11,25,000
- ₹0 – ₹4,00,000 at 0%
- ₹0.00
- ₹4,00,000 – ₹8,00,000 at 5%
- ₹20,000.00
- ₹8,00,000 – ₹12,00,000 at 10%
- ₹32,500.00
- Tax on income
- ₹52,500.00
- − Rebate u/s 87A (incl. marginal relief)
- ₹52,500.00
- + Health & education cess (4%)
- ₹0.00
- Total tax (rounded to ₹10)
- ₹0
Slabs, 87A rebate, surcharge with marginal relief and 4% cess as per the Finance Act 2025 (unchanged in Budget 2026). Rules checked 7 October 2026. Excludes capital gains and other special-rate income. An estimate for planning, not tax advice.
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How to calculate your income tax
- 1
Choose the year and your age group.
- 2
Enter your yearly salary and any other income.
- 3
Optional: add deductions such as 80C, 80D, HRA and home loan interest for the old regime.
- 4
See both regimes side by side, with the cheaper one highlighted and a slab-by-slab breakdown.
New regime vs old regime in one view
Enter your income once and see the tax under both regimes side by side, with the cheaper one highlighted and the yearly saving. The new regime is the default; you can choose the old one when filing if it costs you less. Salaried people can switch every year. Those with business income can switch back only once.
A tax calculator for India: this income tax calculator for India is a new vs old regime calculator and salary tax calculator in one.
New regime rates (FY 2025-26 and Tax Year 2026-27)
| Taxable income | Rate |
|---|---|
| Up to ₹4 lakh | Nil |
| ₹4–8 lakh | 5% |
| ₹8–12 lakh | 10% |
| ₹12–16 lakh | 15% |
| ₹16–20 lakh | 20% |
| ₹20–24 lakh | 25% |
| Above ₹24 lakh | 30% |
Salaried people get a ₹75,000 standard deduction. The section 87A rebate (up to ₹60,000) makes tax nil up to ₹12 lakh of taxable income. Just above that, marginal relief makes sure you never pay more tax than the income above ₹12 lakh. For example, ₹12.1 lakh pays ₹10,000 plus cess, not ₹61,500.
Old regime
Slabs are 5% from ₹2.5 lakh, 20% from ₹5 lakh and 30% above ₹10 lakh. Seniors (60–79) start at ₹3 lakh, and those 80+ at ₹5 lakh. The standard deduction is ₹50,000 and the 87A rebate is up to ₹12,500 for income up to ₹5 lakh. Deductions such as 80C, 80D, HRA and home loan interest are capped at their legal limits automatically.
Surcharge, cess and rounding
Above ₹50 lakh, surcharge is added at 10%, 15% or 25% (and 37% above ₹5 crore in the old regime only), with marginal relief at each threshold. Then 4% health and education cess is added. Taxable income and the final tax are rounded to the nearest ₹10, as sections 288A and 288B require.
Accuracy
The rules were checked on 7 October 2026 against the Finance Act 2025 and Budget 2026, which made no changes to rates. The working panel shows every step so you can verify it against Form 16 or the income tax portal. Use the result as a planning estimate: special-rate income such as capital gains isn’t included.
Frequently asked questions
Up to what income is there no tax in the new regime?
Taxable income up to ₹12 lakh pays no tax thanks to the section 87A rebate. For salaried people the ₹75,000 standard deduction takes this to ₹12.75 lakh of salary. Just above ₹12 lakh, marginal relief limits the tax to the income above ₹12 lakh.
Did Budget 2026 change the tax slabs?
No. Budget 2026 kept the slabs, the ₹12 lakh rebate limit and the ₹75,000 standard deduction unchanged. From 1 April 2026 the Income-tax Act 2025 applies and “Tax Year 2026-27” replaces “FY 2026-27 / AY 2027-28”, but the rates are the same.
Which regime is better for me?
The calculator compares both for your figures. As a rough guide, the old regime only wins if your deductions (80C, 80D, HRA, home loan interest and so on) are large, often above ₹4–8 lakh depending on income.
Does the calculator include surcharge and cess?
Yes. It adds surcharge above ₹50 lakh (capped at 25% in the new regime) with marginal relief, then 4% health and education cess, and rounds the result to the nearest ₹10 as the law requires.
What isn’t covered?
Capital gains taxed at special rates (equity, property), lottery winnings, agricultural income and arrears relief are not included. Add only income taxed at normal slab rates.