Income Tax Calculator
Income tax is what you owe on the money you earn in a financial year, and India now lets you compute it in two ways. The new regime carries wider slabs but shuts most deductions, while the old regime keeps your 80C, HRA and home loan claims alive. This calculator prices both for FY 2025-26 (AY 2026-27) from one set of numbers, so you know the bill before you commit to a regime.
Applies to FY 2025-26Last updated 12 Oct 2026
Enter values
Results
- Taxable income
- ₹14,25,000.00
- Tax after 87A rebate, before cess
- ₹93,750.00
- Health & education cess (4%)
- ₹3,750.00
- Total income tax
- ₹97,500.00
- Effective rate on your income
- 6.5%
How is the Income Tax calculated?
Enter your annual gross salary, pick the regime you want to test and add any chapter VI-A deductions you claim. The calculator subtracts the standard deduction — ₹75,000 under the new regime, ₹50,000 under the old — applies the slabs for the year, gives you the section 87A rebate when your taxable income qualifies, then adds 4% health and education cess. You get five figures back: taxable income, tax after rebate, the cess, the total liability and the effective rate on every rupee earned.
Formula
FY 2025-26 slabs. New regime: nil to ₹4,00,000, then 5% to ₹8,00,000, 10% to ₹12,00,000, 15% to ₹16,00,000, 20% to ₹20,00,000, 25% to ₹24,00,000 and 30% above. Old regime: nil to ₹2,50,000, then 5% to ₹5,00,000, 20% to ₹10,00,000 and 30% above. Tax = slab tax on taxable income − 87A rebate + 4% cess.
Example
A salaried person earns ₹15,00,000 in FY 2025-26. The ₹75,000 standard deduction leaves ₹14,25,000 taxable: 5% of ₹4,00,000 is ₹20,000, 10% of ₹4,00,000 is ₹40,000 and 15% of ₹2,25,000 is ₹33,750, so tax before cess comes to ₹93,750. Cess adds ₹3,750 and the total is ₹97,500, an effective 6.5% of salary.
Things to remember
Run your own salary through both regimes before filing — a full 80C book and a home loan can flip the answer at higher incomes. Rates here follow FY 2025-26, so check the latest budget before filing and treat the output as a planning figure rather than an assessment notice.
Frequently Asked Questions
Which regime is better for a ₹15 lakh salary?
For FY 2025-26 the new regime usually wins below about ₹25 lakh unless your deductions are large. Run the package through both options here: if 80C, HRA and home loan interest together outweigh the wider new-regime slabs, the old regime will come out cheaper.
What is the 87A rebate for FY 2025-26?
Under the new regime you can rebate up to ₹60,000 of tax when taxable income is ₹12,00,000 or less, which takes many salaried people to zero. The old regime offers only ₹12,500, and only up to ₹5,00,000 of taxable income.
Is the standard deduction automatic for salaried people?
Yes. It is ₹75,000 in the new regime and ₹50,000 in the old regime for FY 2025-26, available to every salaried taxpayer with no investment required. The calculator removes it before applying slabs, so enter the gross figure from your payslip.
Does this calculator include surcharge?
No. Surcharge starts once taxable income passes ₹50 lakh and rises in steps, and marginal relief near the rebate cut-off is not modelled either. For incomes in those ranges read the answer as a floor — the final liability will land slightly higher.
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