India Income Tax Calculator: Old vs New Regime
Compare your income tax under both regimes for Tax Year 2026-27. Enter your income, add old-regime deductions if you have any, and get a full side-by-side breakdown with the standard deduction, Section 87A rebate and marginal relief, surcharge and marginal relief, and 4% cess. Everything runs in your browser and nothing you type is sent anywhere.
Your details
Regime-selection and switching rules differ for business/profession income under Form 10-IEA. This tool compares tax figures only and does not determine filing eligibility.
Old-regime deductions (optional)
These reduce total income under the old regime only and are ignored in the new-regime column. Caps are applied for you.
Amounts accept commas, the ₹ symbol and shorthand such as 12L, 12.75L or 1.5Cr. Press Enter in any field to calculate.
How this calculator works
- Gross income is your salary, pension or business income plus any other income taxed at slab rates.
- Standard deduction: . It is never applied to business or profession income, or to other-source income.
- The old regime also subtracts your HRA exemption, Section 24(b) interest and Chapter VI-A deductions (80C, 80CCD(1B), 80D and others) to reach total income. The new regime subtracts the standard deduction only.
- Slab tax is worked out on total income using the tables below.
- Section 87A rebate:
- Surcharge applies above ₹50 lakh at 10%, above ₹1 crore at 15% and above ₹2 crore at 25%. The old regime adds 37% above ₹5 crore, while the new regime stays capped at 25%. Marginal relief keeps the extra tax from exceeding the extra income at each threshold.
- Health and education cess of 4% is added to tax plus surcharge under both regimes.
Slab rates used for Tax Year 2026-27
Worked example
Frequently asked questions
How do old vs new regime rules for FY 2025-26 differ from Tax Year 2026-27?
Mostly the label. Before 1 April 2026, India described income by Financial Year (FY) and the year you filed for it as the Assessment Year (AY), so income earned in FY 2025-26 was filed under AY 2026-27. The Income-tax Act, 2025 replaces both with one term, Tax Year. Income earned from 1 April 2026 to 31 March 2027 is Tax Year 2026-27, and that is the only label this page uses for it. Income Tax Department help pages for earlier years still use the FY and AY wording, so you'll see both in circulation.
The rules themselves did not move. The new-regime slabs used here (nil up to ₹4 lakh, then 5%, 10%, 15%, 20%, 25% and 30%) and the ₹60,000 rebate up to ₹12,00,000 came in with the Union Budget of February 2025. The ₹75,000 standard deduction is older and dates from the July 2024 Budget. Union Budget 2026 left these figures unchanged, as widely reported, and the old regime's slabs, ₹50,000 standard deduction and ₹12,500 rebate haven't changed either. The one visible difference is numbering: the 2025 Act renumbers sections, and Section 87A now sits at Section 156. This page keeps the familiar names.
How does the Section 87A rebate work?
Section 87A gives a resident individual a rebate against slab tax when total income, meaning income after deductions, does not exceed a limit. Under the new regime the limit is ₹12,00,000 and the rebate is capped at ₹60,000, which equals the slab tax at exactly that income, so tax becomes nil. A salaried person with gross salary up to ₹12,75,000 pays no tax under the new regime, because the ₹75,000 standard deduction brings total income down to ₹12,00,000. Under the old regime the limit is ₹5,00,000 and the cap is ₹12,500.
Just above the new-regime limit, marginal relief stops your tax from exceeding the income you earned over ₹12,00,000. At a total income of ₹12,10,000, slab tax is ₹61,500, but you pay ₹10,000 before cess, because that is the amount above the limit. The relief fades out at ₹12,70,588, where slab tax and the excess income meet. The old regime has no equivalent relief, so tax there rises past ₹5,00,000 without a cushion. The rebate is for residents only and does not apply to income taxed at special rates such as capital gains. This calculator shows the relief on its own line.
How do I compare the two regimes?
Enter your gross income once, add every old-regime deduction you can actually claim, and press Calculate. The tool shows total income and tax for each regime side by side and states the rupee difference in one sentence. Which regime comes out lower depends on your deductions, so neither one wins for everyone.
The Total deductions row shows what you are claiming under the old regime. If the new regime is lower even with those deductions, rerun the tool with different amounts to see how much more you would need to claim before the gap closes. Any cap applied to an entry appears as a note under the table.
Does this file my return or tell me which regime I am allowed to choose?
No. This is an estimator that compares tax figures. It does not file a return, work out TDS or advance tax, or decide whether you are eligible to opt into or out of a regime. Salaried and pension taxpayers can generally choose a regime each year when filing. Taxpayers with business or profession income face different rules on opting out of the new regime and switching back, handled through Form 10-IEA. Check your position on the official portal or with a qualified professional before you act.
Is capital gains income covered?
No. Capital gains, lottery winnings and other special-rate income are taxed at their own rates, sit outside the slab calculation, and are excluded from the Section 87A rebate. Adding them to the slab-rate inputs on this page would give a wrong answer, so enter only income taxed at normal slab rates. A separate CalcNest tool for special-rate income is planned.
What is not included in this version?
Non-resident calculations, capital gains and other special-rate income, house property income beyond self-occupied home loan interest, the family pension deduction, the employer NPS deduction under Section 80CCD(2) (which the new regime also allows), TDS tracking, a break-even deduction solver, Excel export and shareable links. If you claim any of these, treat the result as a starting point.
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