New vs Old Tax Regime Calculator (FY 2026-27)

It depends on your deductions. The new regime has lower rates and a ₹75,000 standard deduction but disallows most other deductions. The old regime is better only if your 80C/80D/HRA and other deductions are large enough to offset its higher rates. This calculator compares both for your numbers.

Thanks to the ₹75,000 standard deduction and the enhanced Section 87A rebate, salaried individuals with income up to about ₹12.75 lakh pay zero tax under the new regime.

The standard deduction of ₹75,000 and the employer’s NPS contribution (80CCD(2)) are allowed. Most others — 80C, 80D, HRA, home loan interest on self-occupied property — are only available in the old regime.

Section 80C (up to ₹1.5L — PF, ELSS, life insurance, etc.), 80D (health insurance premiums), HRA exemption, home loan interest on a self-occupied property (Section 24), and most other Chapter VI-A deductions are only available if you opt for the old regime.

Salaried individuals without business income can choose either regime each financial year when filing their return. Those with business/professional income have more restricted switching rules — check current CBDT guidance for your specific situation.

It's a rebate that effectively zeroes out tax liability up to a specified income threshold, which is higher under the new regime — this is a major reason many salaried taxpayers under ~₹12.75L now owe no tax under the new regime once combined with the standard deduction.

Yes — a 4% health and education cess is applied on top of the computed income tax (after rebate) under both regimes, matching the standard calculation method.

It's built around salaried-income deductions and slabs. Business/professional income has additional rules (presumptive taxation options, different regime-switching restrictions) that this calculator doesn't model — consult a tax professional for business income specifically.