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SmartLedger AI

Income Tax Calculator

Compare Old vs New Tax Regime, see your exact tax liability, and find out which regime saves you more money — for FY 2025-26 & 2026-27.

Enter Your Income Details

All amounts in Indian Rupees (₹). Enter annual figures.

These deductions apply only to the Old Tax Regime.

Old Regime vs New Regime — Which Is Better for You?

India's dual tax system lets salaried individuals choose between the Old and New Tax Regime every year. The Old Regime benefits those with high deductions (80C, HRA, home loan, etc.), while the New Regime is simpler with lower slab rates and a higher standard deduction of ₹75,000. Enter your income and deductions above and our calculator will tell you exactly which regime saves you more.

Old Regime

Allows deductions under 80C, 80D, HRA, home loan interest, NPS, and more. Better if your deductions are significant.

New Regime

Lower tax slabs with ₹75,000 standard deduction. No itemized deductions. Better for those with fewer investments.

Section 87A Rebate

Tax is effectively nil up to ₹5L (old), ₹7L (new 2025-26), and ₹12L (new 2026-27) after the rebate.

FY 2026-27 Changes

The new slabs from Budget 2025 expand to 7 tiers with 0% up to ₹4L and a 25% band, benefiting mid-income earners.

Frequently Asked Questions