Income Tax Calculator (India FY 2025-26)
Calculate your Indian income tax liability for Financial Year 2025-26 (Assessment Year 2026-27) under both Old and New tax regimes side-by-side. Compare which regime saves you more. Includes all deductions: 80C, 80D, 80E, 80G, HRA, home loan interest, and standard deduction. Auto-applies surcharge (10/15/25/37%) and 4% health & education cess. Handles age brackets (<60, senior 60-79, super-senior 80+) with different slab rates.
What does this tool do?
The Indian Income Tax Calculator computes tax for FY 2025-26 under both Old and New regimes for comparison. The Old regime allows full deductions (80C up to ₹1.5L, 80D medical insurance, 80E education loan interest, 80G donations, HRA exemption, home loan interest up to ₹2L under section 24). The New regime (default since FY 2023-24) offers lower slab rates but only the standard deduction (₹75,000 from FY 2025-26). The tool shows tax under both regimes, recommends the cheaper option, and includes surcharge and cess calculations. It handles age-based slab differences and marginal relief for surcharge.
How it works
For each regime, the tool calculates: Gross Income - Exemptions = Taxable Income. Then applies progressive slab rates to taxable income. The Old regime subtracts all applicable deductions first. The New regime subtracts only standard deduction (₹75,000) and applies lower slab rates. Surcharge applies to high incomes: 10% above ₹50L, 15% above ₹1Cr, 25% above ₹2Cr, 37% above ₹5Cr (New regime) or 25% above ₹2Cr (Old regime). Health and Education Cess at 4% applies to tax + surcharge. Marginal relief ensures crossing a surcharge threshold doesn't result in lower net income.
Features
- Old regime: full deduction support (80C, 80D, 80E, 80G, HRA, home loan)
- New regime: ₹75,000 standard deduction + revised slabs FY 2025-26
- Side-by-side comparison with recommendation
- Surcharge (10/15/25/37%) and 4% cess auto-applied
- Age brackets: <60, senior 60-79, super-senior 80+
- Marginal relief logic for surcharge thresholds
- Year-end vs monthly TDS view
How to use
- 1
Enter gross income
Total salary, business income, or both. Include all sources chargeable under Income Tax Act.
- 2
Select age bracket
Your age determines slab rates. <60 (normal), 60-79 (senior citizen), 80+ (super senior citizen).
- 3
Add deductions (Old regime)
Enter applicable deductions: 80C (up to ₹1.5L), 80D, HRA exemption, home loan interest (section 24), etc.
- 4
Compare regimes
Tool shows tax under both. If Old regime total deductions exceed ~₹3.75L, it usually wins. Otherwise, New regime is typically better.
Common use cases
Tax planning for salaried employees
Plan 80C investments, HRA claims, and medical insurance to minimize tax under the Old regime, or decide if switching to New regime is beneficial.
Regime selection at year-start
Employers ask for regime choice in April. Calculate projected annual tax under both to make an informed selection for TDS purposes.
Self-assessment tax calculation
Compute final tax liability when filing ITR to verify TDS adequacy and determine if self-assessment tax payment is needed.
Senior citizen tax planning
Account for higher basic exemption limits and different slab rates for senior and super-senior citizens.
Tips & best practices
- As a rule of thumb: if total deductions (80C + HRA + 80D + others) exceed ~₹3.75L, Old regime usually wins. Below that, New regime is typically better
- The New regime (default from FY 2023-24) does NOT allow 80C, 80D, HRA, or home loan interest deductions. Only standard deduction (₹75,000 from FY 2025-26)
- Surcharge kicks in at ₹50L income — marginal relief ensures you don't lose money by crossing the threshold slightly
- These are estimates — consult a tax professional for complex situations involving capital gains, foreign income, or business losses