Both regimes, one calculator
A full slab-wise breakdown, not just a final number
New vs Old, side by side
Switch between regimes with one tap and instantly see which one results in lower tax for your income.
Full slab-wise breakdown
See exactly how much tax applies at each income slab, plus standard deduction, cess, and any 87A rebate.
Private by design
Your income and deduction details stay in your browser and are never sent to or stored on a server.
Why the "better" regime isn't the same for everyone
Since FY 2023-24, the New Tax Regime is the default option, but that doesn't mean it's automatically the cheaper one for every taxpayer. The New Regime trades away most deductions and exemptions — HRA, 80C investments, 80D insurance premiums, and more — in exchange for lower slab rates applied across a wider income base. Whether that trade works in your favor depends entirely on how much you were claiming under the Old Regime in the first place.
Someone with a home loan, an 80C-maxed EPF and ELSS contribution, health insurance premiums, and HRA can often still come out ahead under the Old Regime despite its higher slab rates, because the deductions reduce taxable income by a large enough margin. Someone with few or no deductions — common for younger salaried employees early in their career — is usually better off under the New Regime's lower rates. Running both scenarios through a calculator, rather than assuming one is universally better, is the only way to know for certain.
How the tax is calculated
Under the New Regime, a standard deduction of ₹75,000 is subtracted from gross annual income to arrive at taxable income, which is then taxed slab by slab: nil up to ₹3,00,000, 5% from ₹3,00,001-₹6,00,000, 10% from ₹6,00,001-₹9,00,000, 15% from ₹9,00,001-₹12,00,000, 20% from ₹12,00,001-₹15,00,000, and 30% above ₹15,00,000. If taxable income is ₹7,00,000 or below, the Section 87A rebate brings the tax liability to zero regardless of the slab calculation.
Under the Old Regime, a standard deduction of ₹50,000 applies, along with any HRA exemption, Section 80C deductions (capped at ₹1,50,000), Section 80D medical insurance premiums, and other eligible deductions you enter. The exemption limit before any tax applies is ₹2,50,000 for those below 60, ₹3,00,000 for seniors aged 60-80, and ₹5,00,000 for super seniors above 80. Tax is then calculated at 5%, 20%, and 30% across the remaining slabs, with the Section 87A rebate zeroing out tax entirely if taxable income is ₹5,00,000 or below.
A 4% Health and Education Cess is added on top of the calculated tax under both regimes, applied after any rebate, giving the final total tax payable shown by the calculator.
Income tax slabs — FY 2024-25
| Income Range | New Regime | Old Regime (Below 60) |
|---|---|---|
| Up to ₹3,00,000 | Nil | Nil |
| ₹3,00,001 – ₹6,00,000 | 5% | 5% (above ₹2.5L) |
| ₹6,00,001 – ₹9,00,000 | 10% | 20% |
| ₹9,00,001 – ₹12,00,000 | 15% | 30% |
| ₹12,00,001 – ₹15,00,000 | 20% | 30% |
| Above ₹15,00,000 | 30% | 30% |
* 4% Health & Education Cess applicable on tax amount. Standard deduction ₹75,000 (New) / ₹50,000 (Old).
When people use an income tax calculator
A few common situations
💼 Comparing regimes before choosing
Test both New and Old Regime on the same income to decide which to opt for this financial year.
📊 Planning 80C and 80D investments
See how much a planned ELSS, PPF, or health insurance contribution would actually reduce tax under the Old Regime.
🏠 Factoring in a home loan or HRA
Check whether HRA exemption and home loan deductions tip the balance toward the Old Regime.
💰 Salary negotiation and CTC review
Estimate in-hand tax liability at a proposed new salary before accepting an offer.
📅 Advance tax planning
Get a rough annual tax figure to plan quarterly advance tax payments ahead of due dates.
🧓 Senior citizen tax planning
Apply the higher exemption limits for age 60+ and 80+ to see the tax difference for retired income.
📋 Preparing for a CA consultation
Walk into a tax filing conversation with a rough number already worked out, ready to be refined.
🎓 Understanding a first payslip
Get a clear sense of how gross salary translates into net tax liability for the first time.
Deductions available under the Old Regime
The Old Regime's main appeal is the range of deductions it allows. Section 80C covers up to ₹1,50,000 across instruments like EPF, PPF, ELSS mutual funds, life insurance premiums, and principal repayment on a home loan — one of the most commonly maxed-out deductions among salaried taxpayers. Section 80D allows a deduction for health insurance premiums, typically up to ₹25,000 for self and family, with a higher limit for senior citizen parents' premiums.
HRA (House Rent Allowance) exemption, calculated based on actual rent paid, salary, and city of residence, can be a substantial deduction for salaried employees living in rented accommodation, particularly in metro cities. Beyond these, other deductions like Section 80TTA (savings account interest), Section 24(b) (home loan interest), and Section 80E (education loan interest) can further reduce taxable income under the Old Regime — the "Other Deductions" field in this calculator can be used to capture any of these that apply to your situation.
Why this is an estimate, not a filing-ready figure
This calculator applies the standard FY 2024-25 slab rates, standard deduction, and Section 87A rebate rules for salaried individuals, but real tax filings often involve additional factors it doesn't account for — capital gains, business income, TDS already deducted, surcharge on very high incomes above ₹50 lakh, or specific exemptions unique to certain professions. It's built to give a fast, accurate estimate for planning purposes, not to replace an actual return filed with a Chartered Accountant or through the income tax portal.
Tax rules and slab structures are also revised in most Union Budgets, so figures here reflect FY 2024-25 (Assessment Year 2025-26) rules specifically — always confirm against the latest official notification from the Income Tax Department before making financial decisions based on this or any other estimate.
Common mistakes when comparing the two regimes
The most common mistake is comparing the two regimes using gross salary instead of taxable income after deductions — under the Old Regime, someone with a large 80C and HRA claim can have a taxable income much lower than their gross salary, which changes the comparison entirely. Skipping that step and just looking at "which regime has lower rates" on paper, without running actual numbers, often leads people to the wrong conclusion for their specific situation.
Another frequent error is forgetting to update the regime choice after a life change — a home loan taken mid-year, a jump in salary that pushes income into a higher slab, or maxing out 80C for the first time can all shift which regime is more favorable compared to the previous year. Since salaried employees can generally choose a regime freshly each financial year, it's worth recalculating rather than assuming last year's choice still applies.
It's also easy to overestimate 80C deductions — the ₹1,50,000 cap covers EPF, PPF, ELSS, life insurance premiums, and home loan principal combined, not each separately. Someone assuming they can claim ₹1,50,000 in ELSS on top of their EPF contribution, for instance, is often surprised to find the combined cap has already been reached through EPF alone.
TDS, advance tax, and this calculator
For salaried employees, most of the tax computed here is already deducted at source (TDS) by the employer through the year based on the regime declared at the start of the financial year — this calculator's total tax figure is useful for checking that the TDS being deducted from each payslip lines up with what's actually owed for the full year, rather than being a separate amount due on top of what's already withheld.
For anyone with income outside a single salaried source — freelance work, rental income, or capital gains — advance tax may be payable in quarterly installments rather than through employer TDS alone. This calculator's annual tax figure is a reasonable starting point for estimating what those installments should roughly total, though the specific quarterly due dates and installment percentages are best confirmed on the Income Tax Department's official portal or with a CA, since penalties can apply for underpayment of advance tax.
📖 How to use the income tax calculator
Frequently asked questions
Which tax regime is better — New or Old?
New regime is generally better if you have fewer deductions. Old regime is generally better if you have high 80C, HRA, and other deductions. Use this calculator on both to compare directly for your specific income and deductions.
What is the standard deduction for FY 2024-25?
Standard deduction is ₹75,000 under the New Regime and ₹50,000 under the Old Regime for salaried individuals.
What is the basic exemption limit?
Under New Regime: ₹3,00,000 for everyone. Under Old Regime: ₹2,50,000 (below 60), ₹3,00,000 (60-80), ₹5,00,000 (above 80).
Is there a rebate under Section 87A?
Yes. Under New Regime, if taxable income is up to ₹7,00,000, tax is zero due to the Section 87A rebate. Under Old Regime, the rebate applies up to ₹5,00,000 taxable income.
Is the New Regime compulsory now?
The New Regime is the default option since FY 2023-24, but salaried individuals can still opt for the Old Regime each year at the time of filing their return, or by informing their employer for TDS purposes.
Does this calculator include surcharge for high incomes?
No, this calculator covers standard slab tax and 4% cess only. Surcharge applies additionally for incomes above ₹50 lakh and is not included in this estimate — consult a CA for incomes in that range.
Can I claim both HRA and a home loan deduction under the Old Regime?
Yes, HRA exemption and home loan interest/principal deductions can generally both be claimed under the Old Regime if you meet the eligibility conditions for each, though home loan interest itself isn't a separate field in this calculator — include it under Other Deductions.
Is my income data stored anywhere?
No, all calculations run entirely in your browser and your income, age, and deduction details are never sent to or stored on a server.
Can I switch regimes every year?
Salaried individuals without business income can generally choose between the New and Old Regime each financial year at the time of filing. Those with business or professional income have more restricted switching rules — check with a CA if this applies to you.
Is this tool free?
Yes, completely free with no signup required.
What happens if I don't declare a regime to my employer?
If no regime is declared, employers are generally required to deduct TDS based on the New Regime by default, since it became the default option from FY 2023-24 onward. You can still choose a different regime when filing your actual return, subject to standard eligibility rules.