Indian Income Tax Regime Calculator
Calculate tax accurately under Old and New Tax Regimes with step-by-step breakdown
Enter Your Details
Provide your income and deduction details
You can switch regimes anytime to compare results
Deductions (Old Regime Only)
Maximum ₹1,50,000 (EPF, PPF, ELSS, etc.)
Health insurance premium (Max: ₹25,000 for individuals below 60)
80G, 80E, 24(b), etc.
How Do Tax Regime Calculators Work?
Tax regime calculators help you compare the Old and New tax regimes by applying relevant tax laws and deduction rules to compute your tax liability under both systems. Here's a step-by-step explanation:
Input Basic Details
Enter your annual gross income and age category. The calculator uses this information to determine applicable tax slabs, rebates, and surcharge rates. Your age category affects the basic exemption limit and Section 80D deduction limits.
Specify Deductions
For Old Regime, enter your investments under Section 80C (up to ₹1,50,000), health insurance premiums under Section 80D, and other deductions like home loan interest, donations, etc. These deductions reduce your taxable income.
Apply Tax Rules
The calculator applies the current income tax slabs and rules for both regimes. It calculates taxable income after applying standard deduction (₹50,000) and other applicable deductions. Tax is calculated using progressive slab rates, and if your taxable income is below the rebate threshold, tax becomes zero. A 4% Health & Education Cess is added to the final tax amount.
💡 Pro Tip
Switch between regimes using the tabs above to see detailed calculations for both. After calculating, you'll see a comparison showing which regime saves you more tax. The recommended regime is highlighted with the lower tax amount. Remember, you can choose your preferred regime each financial year when filing your income tax return.
Important: This calculator uses the latest tax slabs and rates. All calculations are based on the Income Tax Act, 1961. For personalized tax planning advice, please consult a qualified Chartered Accountant.
Understanding Your Tax Regime Calculation
Learn how tax regime calculations work
Understanding Tax Regime Comparison
Compare Old vs New Tax Regime to determine which one saves you more tax. The Old Regime offers more deductions but higher rates, while the New Regime offers lower rates with fewer deductions.
Key Points:
- •Old Regime: Standard deduction ₹50,000 + various deductions (80C, 80D, HRA, etc.)
- •New Regime: Higher standard deduction ₹75,000 but no other deductions allowed
- •You can choose your preferred regime each financial year when filing ITR
- •New Regime is beneficial for those with fewer investments and deductions
- •Old Regime is better if you have significant investments and deductions
Frequently Asked Questions
Common questions about tax regime
Disclaimer
These calculators are for estimation and educational purposes only. For personalized financial advice, please consult a qualified financial advisor or chartered accountant.
All calculations are based on standard formulas and current tax laws. Actual results may vary based on individual circumstances and applicable regulations.
Old vs New Tax Regime: Which One Is Better for You?
The Indian income tax system offers two options for salaried individuals: the old tax regime and the new tax regime. Choosing the right one can significantly impact how much tax you pay every year.
How to Choose the Right Tax Regime Based on Your Salary
Choosing the right tax regime is an important financial decision for salaried individuals. A wrong choice can lead to paying more tax than necessary, even if your income remains the same.
Common Mistakes While Selecting Tax Regime
Many taxpayers select a tax regime without fully understanding its impact. These mistakes often lead to higher tax outgo and regret at the end of the financial year.