🇮🇳 India Tax · FY 2025-26 · AY 2026-27

New vs Old Tax Regime Calculator

Enter your salary and deductions — see exact tax under both regimes instantly. Find out which saves you more in seconds.

⚡ Quick Answer: Choose New Regime if deductions < ₹3.75L or income ≤ ₹7L (zero tax via 87A). Choose Old Regime if HRA + 80C + NPS + 80D exceeds ₹3.75L. Use the calculator below for your exact numbers.
⚖️ Your Tax Comparison — FY 2025-26
₹12.00L/year

Max ₹1,50,000
Max ₹50,000
Max ₹2,00,000
Best Regime For You
📈 New Regime
🏦 Old Regime
Details
New Regime
Old Regime
Gross Income
Standard Deduction
Other Deductions
Taxable Income
Tax Before Cess
87A Rebate
Health & Ed Cess (4%)
Total Tax
Monthly Tax
Monthly In-Hand
📈 New Regime — Slab Breakdown
🏦 Old Regime — Slab Breakdown
Tax calculations for FY 2025-26 (AY 2026-27). Surcharge and marginal relief not included for simplified comparison. Verify with a CA for personalized advice.

New vs Old Tax Regime — India FY 2025-26

The new regime is the default from FY 2023-24 onwards. It offers lower tax rates but removes most deductions. The old regime lets you claim 80C, HRA, NPS, 80D and home loan interest — beneficial if your deductions exceed ~₹3.75 lakh.

⚡ Quick Comparison — ₹12L Salary
Total Deductions (Old)₹2.25LNew wins
Total Deductions (Old)₹3.75LTie point
Total Deductions (Old)₹5L+Old wins

New Regime Tax Slabs FY 2025-26

Income SlabRateTax on Slab
Up to ₹3,00,0000%₹0
₹3L – ₹7L5%₹20,000
₹7L – ₹10L10%₹30,000
₹10L – ₹12L15%₹30,000
₹12L – ₹15L20%₹60,000
Above ₹15L30%30% on balance

Old Regime Tax Slabs FY 2025-26

Income SlabRateTax on Slab
Up to ₹2,50,0000%₹0
₹2.5L – ₹5L5%₹12,500
₹5L – ₹10L20%₹1,00,000
Above ₹10L30%30% on balance

When to Choose Which Regime

  • New Regime — income below ₹7L (zero tax via 87A), minimal deductions, or you prefer simplicity
  • Old Regime — metro city rent (high HRA), fully used 80C + NPS + 80D + home loan totalling >₹3.75L
  • ELSS via SIP gives 80C benefit under old regime — invest the ₹1.5L limit in ELSS for dual benefit
  • Switch annually — salaried employees can switch every year when filing ITR; decide based on actual deductions
  • New regime has higher standard deduction (₹75K vs ₹50K) — reduces taxable income right off the bat
Last updated: May 2026 — FY 2025-26 (AY 2026-27). Consult a qualified CA for personalised advice. Read full guide →
Frequently Asked Questions
Which tax regime is better for salaried employees in 2025-26?+
It depends on your deductions. If total deductions exceed ₹3.75 lakh (including standard deduction), old regime typically saves more. Below ₹3.75L, new regime wins. The calculator above shows your exact breakeven point.
What is the tax-free limit in new regime 2025-26?+
Under new regime FY 2025-26, income up to ₹7 lakh is effectively tax-free due to Section 87A rebate. With the standard deduction of ₹75,000, the effective zero-tax limit is ₹7.75 lakh for salaried employees.
Can I switch between new and old tax regime?+
Yes — salaried employees can switch every year when filing ITR. Business income earners can switch back to old regime only once. Inform your employer at the start of the financial year for TDS purposes.
What deductions are allowed in new tax regime 2025-26?+
The new regime allows very few deductions: standard deduction of ₹75,000, employer NPS contribution under 80CCD(2), Agniveer corpus fund, and a few others. Most common deductions like 80C, HRA, 80D, and home loan interest are NOT available in the new regime.
Is new tax regime better for ₹10 lakh salary?+
For ₹10 lakh salary with minimal deductions, new regime is almost always better. Taxable income after ₹75K standard deduction = ₹9.25L. Tax ≈ ₹42,500 + 4% cess = ₹44,200. Under old regime with only standard deduction, tax is higher. But if you can claim HRA + 80C + NPS totalling over ₹2.5L, old regime becomes competitive.
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