Income Tax Calculator
Estimate your tax liability for FY 2024-25 & FY 2025-26.
Understanding Your Income Tax
What is an Income Tax Calculator?
An Income Tax Calculator is an online tool that helps individuals estimate their income tax liability for a financial year. By inputting details like your annual income, deductions, age, and chosen tax regime (Old or New), the calculator applies the relevant tax slabs and rules to provide an approximate amount of tax payable. This helps in financial planning and understanding potential tax outgo before filing official returns.
Income Tax Updates for FY 2025-26 (AY 2026-27)
As of May 2025, the tax regulations for the Financial Year 2025-26 (Assessment Year 2026-27) are based on the latest publicly available information, which generally aligns with the rules established for FY 2024-25. Any specific changes announced in the Union Budget for 2025 would supersede these assumptions.
This calculator incorporates the tax slabs and deduction rules as per the Finance Act relevant to FY 2024-25 and assumes their continuity for FY 2025-26 unless officially amended. Key aspects include the option to choose between the Old Tax Regime (with various deductions) and the New Tax Regime (with lower slab rates but fewer deductions, and a default standard deduction of ₹50,000 for salaried individuals).
Disclaimer: Tax laws are subject to change. Users are advised to refer to official announcements from the Income Tax Department and consult with a tax professional for the most current and personalized advice, especially after the presentation of the full Union Budget for 2025.
Revised Income Tax Slabs Under New Regime for FY 2025-2026 (AY 2026-2027)
The New Tax Regime is the default regime unless you opt for the Old Regime. It offers lower tax rates but disallows most common deductions and exemptions. A standard deduction of ₹50,000 is available for salaried individuals and pensioners under the New Regime.
| Income Slab | Tax Rate |
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Note: Rebate under Section 87A is available if net taxable income is up to ₹7,00,000, making the tax liability zero for such individuals under the New Regime.
How to Use Our Online Income Tax Calculator?
- Select Financial Year: Choose the financial year for which you want to calculate your tax (e.g., 2025-26).
- Select Age Group: Pick your age category. This primarily affects calculations under the Old Tax Regime.
- Choose Tax Regime: Use the toggle switch to select either the New Tax Regime (default) or the Old Tax Regime.
- Enter Total Annual Income: Input your gross annual income.
- HRA Details (Optional): If claiming HRA under Old Regime, fill in Basic Salary, HRA Received, Rent Paid, and Metro City status.
- Enter Deductions: Fill applicable deductions like 80C, 80CCD(1B), 80D (Self & Parents separately), Home Loan Interest, and Other Deductions. These are mostly for Old Regime.
- Click "Calculate Tax".
- View Summary: See a quick comparison of tax under both regimes. The detailed breakdown for your selected regime will show income, deductions, taxable income, and final tax.
- Save or Reset.
Slab Rates Under New and Old Regime (FY 2025-26 / AY 2026-27)
Below are the indicative tax slab rates used by this calculator for FY 2025-26, assuming no changes from FY 2024-25.
New Tax Regime (Applicable to All Individuals)
This is the default regime. Rebate u/s 87A up to ₹7,00,000 taxable income.
| Income Slab | Tax Rate |
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Old Tax Regime
Rebate u/s 87A up to ₹5,00,000 taxable income.
For Individuals Below 60 Years
| Income Slab | Tax Rate |
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For Senior Citizens (60 to 79 Years)
| Income Slab | Tax Rate |
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For Super Senior Citizens (80 Years and Above)
| Income Slab | Tax Rate |
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Health and Education Cess of 4% is applicable on the income tax amount plus surcharge (if any) under both regimes. Surcharge is applicable on higher income levels. Marginal relief on surcharge is considered in calculations.
FAQ (Frequently Asked Questions)
Which tax regime should I choose?
The choice depends on your income and eligible deductions. The calculator now shows a quick comparison of final tax under both regimes to help you decide. If you have high deductions (HRA, home loan interest, 80C, etc.), the Old Regime might be better. Otherwise, the New Regime's lower rates could be beneficial.
How is HRA exemption calculated?
HRA exemption is the minimum of: a) Actual HRA received; b) 50% of (Basic Salary + DA) for metro cities or 40% for non-metro cities; c) Actual rent paid minus 10% of (Basic Salary + DA). This calculator uses the 'Basic Salary' field for HRA calculation (DA is assumed included or zero for this tool's HRA part). This exemption is applicable only under the Old Tax Regime.
What are the 80D limits considered?
For self, spouse, and dependent children: ₹25,000. If any insured person is a senior citizen (60+), this limit is ₹50,000. For parents: Additional ₹25,000. If parents are senior citizens, this additional limit is ₹50,000. So, max possible is ₹1,00,000 if self/family includes a senior and parents are also seniors.
What is Standard Deduction?
A flat deduction of ₹50,000 from salary/pension income. It's available under the New Tax Regime (by default for FY 2024-25 onwards) and also under the Old Tax Regime if you have salary income.
What is Section 87A rebate?
Under New Regime (FY 2024-25 onwards): If net taxable income is up to ₹7,00,000, tax liability becomes nil. Under Old Regime: If net taxable income is up to ₹5,00,000, tax liability becomes nil.
Is this calculator updated for Budget 2025?
This calculator uses tax laws for FY 2024-25 (AY 2025-26) and assumes continuity for FY 2025-26 (AY 2026-27) until official changes. Always refer to official notifications post-Budget 2025.