Compare your tax under the new and old regimes and see which one saves you more.
New tax regime slabs (FY 2025-26)
| Up to ₹4,00,000 | Nil |
| ₹4,00,001 – ₹8,00,000 | 5% |
| ₹8,00,001 – ₹12,00,000 | 10% |
| ₹12,00,001 – ₹16,00,000 | 15% |
| ₹16,00,001 – ₹20,00,000 | 20% |
| ₹20,00,001 – ₹24,00,000 | 25% |
| Above ₹24,00,000 | 30% |
Under the new regime, salaried taxpayers get a ₹75,000 standard deduction, and the rebate under section 87A makes income up to ₹12 lakh (₹12.75 lakh for salaried) effectively tax-free. Most deductions such as 80C and HRA are not allowed.
Old tax regime slabs
Below 60: nil up to ₹2.5 lakh, 5% up to ₹5 lakh, 20% up to ₹10 lakh, 30% above. The basic exemption is ₹3 lakh for senior citizens (60–79) and ₹5 lakh for super seniors (80+). The standard deduction is ₹50,000, and the 87A rebate makes income up to ₹5 lakh tax-free.
Which regime should I choose?
If your total deductions (80C, 80D, HRA, home loan interest and so on) are large, the old regime may still save tax. Otherwise the new regime is usually cheaper. The calculator above shows both side by side.
Disclaimer: This is an estimate based on FY 2025-26 rules. A 4% health & education cess and surcharge (for income above ₹50 lakh) are included. Marginal relief on surcharge, special-rate income such as capital gains, and later changes in law are not covered. Consult a tax professional before filing.
Frequently asked questions
Is income up to ₹12 lakh really tax-free?
Under the new regime, yes: if your taxable income is ₹12 lakh or less, the section 87A rebate cancels the tax. For salaried people the ₹75,000 standard deduction raises this to ₹12.75 lakh of salary. Just above ₹12 lakh, marginal relief keeps your tax from exceeding the income above ₹12 lakh. The rebate does not cover special-rate income such as capital gains on shares.
Can I switch between the old and new regime every year?
Salaried people and others without business income can choose the regime every year when filing their return. People with business or professional income can move from the new regime to the old one and back only once in their lifetime.
What are cess and surcharge?
A 4% health and education cess is added to your income tax in both regimes. Surcharge applies only above ₹50 lakh of income: 10% (₹50 lakh–1 crore), 15% (₹1–2 crore), 25% (₹2–5 crore) and 37% above ₹5 crore in the old regime. In the new regime the surcharge is capped at 25%.
Which deductions are allowed in the new regime?
Very few: the ₹75,000 standard deduction for salaried people and pensioners, the employer's contribution to your NPS account under section 80CCD(2) (up to 14% of basic salary), and a few others. Deductions like 80C, 80D, HRA and home loan interest on a self-occupied house are not allowed.
When is the last date to file my income tax return?
For most individuals (whose accounts don't need an audit) it is usually 31 July after the financial year ends, though the government sometimes extends it. Filing late attracts a fee of up to ₹5,000 and interest on unpaid tax. See our step-by-step ITR filing guide.