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India Income Tax Calculator FY 2026-27: Old vs New Regime

Enter your income and deductions to compare the tax under the old and new regimes side by side, including the Section 87A rebate, surcharge and 4% cess.

Calculator

₹

Total taxable income before any deductions.

₹

Only used for the old regime. Standard deduction is added automatically.

Help me add up my old-regime deductions

Fill in what applies. Each box is capped at the legal limit when added up.

₹

Limit: ₹1,50,000

₹

Limit: ₹1,00,000

₹

Limit: ₹50,000

₹

Limit: ₹2,00,000

₹

The exempt amount from your payslip or HRA calculation.

₹

Total deductions: ₹0.

Limits as published by the Income Tax Department; rules can change, so please verify. Income Tax Department – deductions under Chapter VI-A · Income Tax Department – tax calculator (old vs new regime)

New regimeBetter regime
₹1,13,100You save

The old regime only wins if your deductions (on top of the standard deduction) are at least ₹5,43,800.

Lower tax

New regime (default)

Total tax₹97,500Effective rate 6.5% · ≈ $1,026
Gross income
₹15,00,000
Deductions
− ₹75,000
Taxable income
₹14,25,000
Slab tax
₹93,750
Health & Education Cess (4%)
₹3,750
Take-home (before other deductions)
₹14,02,500
Take-home per month
₹1,16,875
Slab breakdown
SlabRateTaxedTax
₹0 – ₹4,00,0000%₹4,00,000₹0
₹4,00,000 – ₹8,00,0005%₹4,00,000₹20,000
₹8,00,000 – ₹12,00,00010%₹4,00,000₹40,000
₹12,00,000 – ₹16,00,00015%₹2,25,000₹33,750

Old regime

Total tax₹2,10,600Effective rate 14.04% · ≈ $2,217
Gross income
₹15,00,000
Deductions
− ₹2,00,000
Taxable income
₹13,00,000
Slab tax
₹2,02,500
Health & Education Cess (4%)
₹8,100
Take-home (before other deductions)
₹12,89,400
Take-home per month
₹1,07,450
Slab breakdown
SlabRateTaxedTax
₹0 – ₹2,50,0000%₹2,50,000₹0
₹2,50,000 – ₹5,00,0005%₹2,50,000₹12,500
₹5,00,000 – ₹10,00,00020%₹5,00,000₹1,00,000
₹10,00,000 – above30%₹3,00,000₹90,000

Tax year: FY 2026-27 (AY 2027-28). Last verified: 2026-10-25. Amounts are in INR (Indian tax law); equivalents in your currency are approximate.

Amounts are in USD (United States selected). Change country or currency in the header. Exchange rates are approximate, from a static table updated 2026-10-25 — not live and not for transactions. Indian tax slabs and GST rates are always in INR/India rules; other-currency figures are approximate equivalents.

Estimates for planning only. Not tax or financial advice. Last verified: 2026-10-25

India income tax calculator (FY 2026-27): how it works

India lets most individuals choose between two regimes each year. The new regime has lower slab rates, a larger standard deduction and a rebate that makes income up to a threshold tax-free, but it allows very few deductions. The old regime has higher slab rates but lets you subtract items such as Section 80C investments, health insurance, HRA and home-loan interest.

This calculator subtracts the standard deduction, applies the slab rates of the chosen regime, subtracts the Section 87A rebate where it applies (with marginal relief in the new regime so tax never jumps by more than the income above the limit), adds surcharge for very high incomes and then adds 4% Health and Education Cess on the total. It shows both regimes side by side so you can see which is lower for your numbers.

Formula and assumptions

Formula

  • Taxable income = gross income − deductions
  • Tax = slab tax − 87A rebate (or marginal relief) + surcharge
  • Total = (tax + surcharge) × 1.04 (cess)

Assumptions

  • Resident individual below 60, salary / business income taxed at slab rates. Capital gains and other special-rate income are not handled.
  • New regime: ₹75,000 standard deduction (salaried); 87A rebate up to ₹12L taxable income with marginal relief. Old regime: ₹50,000 standard deduction; 87A rebate up to ₹5L.
  • Old-regime deductions (80C, 80D, HRA, home-loan interest, etc.) are taken as the single total you enter; eligibility limits are not checked.
  • Surcharge and 4% Health & Education Cess are included, with marginal relief on surcharge.

Worked example

Salaried, ₹15,00,000 gross, FY 2026-27

  1. New regime: less ₹75,000 standard deduction = ₹14,25,000 taxable. Slabs: 0–4L nil; 4–8L at 5% = ₹20,000; 8–12L at 10% = ₹40,000; 12L–14.25L at 15% = ₹33,750. Tax ₹93,750 + 4% cess ₹3,750 = ₹97,500.
  2. Old regime with ₹3,00,000 of deductions plus the ₹50,000 standard deduction = ₹11,50,000 taxable: ₹12,500 + ₹1,00,000 + ₹45,000 = ₹1,57,500 + 4% cess ₹6,300 = ₹1,63,800.
  3. Check of the rebate: gross ₹12,75,000 gives ₹12,00,000 taxable under the new regime, where ₹60,000 slab tax is fully cancelled by the 87A rebate.

Result: The new regime is cheaper by ₹66,300 in this example; at ₹12.75 lakh salary, tax is nil.

Limitations

  • Resident individuals below 60 only. Senior-citizen limits, HUF, firms and companies are not covered.
  • Capital gains and other special-rate income are not handled; only salary and business income taxed at slab rates.
  • Old-regime deductions are taken as one total you enter. Eligibility limits (for example the Section 80C cap) are not checked.
  • Slabs were cross-checked in summaries of official pages and not against the full Finance Act text. The Income-tax Act, 2025 renumbers sections, so verify with the Income Tax Department before relying on any figure.

Frequently asked questions

Which regime is better for me?

The new regime usually wins if your deductions are modest. The old regime can win when total deductions are large. Enter your figures and compare the two totals shown.

What is the Section 87A rebate?

A rebate that reduces tax to zero for resident individuals whose taxable income is below a limit: up to ₹12 lakh in the new regime (with marginal relief just above it) and up to ₹5 lakh in the old regime.

Is the 4% cess included?

Yes. Health and Education Cess of 4% is added on tax plus any surcharge.

How much salary is tax-free in the new regime?

For a salaried person, ₹12,75,000: the ₹75,000 standard deduction brings taxable income to ₹12 lakh, which the rebate covers. For taxable income just above ₹12 lakh, marginal relief limits the tax to the amount above ₹12 lakh.

Does surcharge apply to me?

Only if income exceeds ₹50 lakh. The new regime caps the surcharge rate at 25%; the old regime goes up to 37%. Marginal relief is applied.

What changed for FY 2026-27?

The slabs used here are the same as for FY 2025-26. The Income-tax Act, 2025 renumbers sections, so the rebate sits under a new section number. Check the Income Tax Department notices for any later changes.

What is the income tax slab for FY 2026-27?

The new regime used here is: nil up to ₹4 lakh, 5% from ₹4 to ₹8 lakh, 10% from ₹8 to ₹12 lakh, 15% from ₹12 to ₹16 lakh, 20% from ₹16 to ₹20 lakh, 25% from ₹20 to ₹24 lakh and 30% above ₹24 lakh. The old regime is nil up to ₹2.5 lakh, 5% to ₹5 lakh, 20% to ₹10 lakh and 30% above. Cess, surcharge and the Section 87A rebate come on top, and the slabs should be confirmed with the Income Tax Department.

Is the old tax regime still available for FY 2026-27?

This calculator shows both regimes side by side, with the new regime as the default. Salaried taxpayers can generally choose the old regime when they want to claim deductions such as 80C and HRA, while taxpayers with business income have a more restricted option to switch. Rules can change, so confirm the current position with the Income Tax Department before you choose.

What deductions are allowed in the new tax regime?

Most old-regime deductions, such as Section 80C, 80D and HRA, are not available in the new regime. The calculator applies the ₹75,000 standard deduction for salaried taxpayers; a few others, such as the employer's NPS contribution, may also apply, but they are not modelled here. Check the Income Tax Department's guidance for your case.

Sources

Calculator data last verified: 2026-10-25. Estimates for planning only; not tax or financial advice.

What next?

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