Income Tax Calculator FY 2026-27
Work out your income tax for tax year 2026-27 under both regimes, see which one leaves you more money and by how much. Salary up to Rs 12.75 lakh pays no tax under the new regime.
How to use it
- Enter your yearly salary and any other income such as interest or rent.
- Add your deductions (old regime only): section 123 investments (formerly 80C), health insurance, HRA, home-loan interest.
- Compare both regimes and see how much deduction the old regime needs to win.
How it is calculated
Taxable income = income - standard deduction - deductions (old regime). Tax = slab tax - rebate + surcharge, then 4% health and education cess on the total. New regime slabs: nil up to Rs 4 lakh, then 5%, 10%, 15%, 20% and 25% for each Rs 4 lakh, and 30% above Rs 24 lakh.
Frequently asked questions
Is income up to Rs 12 lakh tax-free?
Yes, under the new regime. The rebate covers tax on taxable income up to Rs 12 lakh, and salaried people also get a Rs 75,000 standard deduction, so salary up to Rs 12.75 lakh pays no tax.
Which regime is better for me?
The new regime has lower rates but almost no deductions. The old regime wins only if your deductions are large. The calculator shows the exact break-even amount for your income.
What changed with the Income-tax Act, 2025?
From 1 April 2026 the new Act uses the term tax year and new section numbers, for example section 123 for what was 80C. Slabs and limits stayed the same.
Does this include surcharge?
Yes. Surcharge applies above Rs 50 lakh of income, with marginal relief. The new regime caps it at 25%.