Income Tax Calculator
Calculate your income tax liability for FY 2025-26 (AY 2026-27) under new tax regime
New Tax Regime Slabs (FY 2025-26)
| Income Range | Tax Rate |
|---|---|
| Up to ₹4 Lakhs | Nil |
| ₹4-8 Lakhs | 5% |
| ₹8-12 Lakhs | 10% |
| ₹12-16 Lakhs | 15% |
| ₹16-20 Lakhs | 20% |
| ₹20-24 Lakhs | 25% |
| Above ₹24 Lakhs | 30% |
*Rebate of ₹60,000 available under Section 87A for income up to ₹12 lakh
About Income Tax Calculation
Income tax calculation in India depends on your total income, applicable tax slabs, and eligible deductions. The new tax regime offers lower tax rates but fewer deductions compared to the old regime.
Budget 2025 Key Changes:
- Increased rebate to ₹60,000 under Section 87A
- No tax on income up to ₹12 lakh
- Revised tax slabs in new regime
- Higher TDS limits for senior citizens
How to Use the Income Tax Calculator for FY 2024-25 (AY 2025-26) and FY 2025-26 (AY 2026-27)
Step-by-Step Guide to Calculate Your Income Tax
Select Assessment Year
Choose between AY 2026-27 (FY 2025-26) for current year calculations or AY 2025-26 (FY 2024-25) for previous year calculations. This selection determines which tax slabs and rules apply to your calculation.
Choose Your Age Group
Select your age category as it affects your tax liability:
- Below 60 years: General taxpayer with standard exemption limits
- 60-80 years: Senior citizen with higher exemption limits
- Above 80 years: Super senior citizen with maximum exemption benefits
Enter Your Income Details
Input your various income sources accurately:
- Annual Income: Your gross salary or business income
- Other Income: Income from freelancing, consulting, or other sources
- Rental Income: Income from property rentals
- Digital Assets Income: Income from cryptocurrency or digital assets
- Interest Income: From savings accounts, FDs, or bonds
Claim Your Deductions
Enter eligible deductions to reduce your taxable income:
- Section 80C: Investments in PPF, ELSS, life insurance premiums (up to ₹1.5 lakh)
- Section 80D: Health insurance premiums for self and family
- Section 80CCD(1B): Additional NPS contribution (up to ₹50,000)
- Section 80TTA/TTB: Interest on savings account
- Section 80G: Donations to eligible charities
- Education Loan Interest: Interest paid on education loans
HRA and Rent Details
If you receive HRA and pay rent:
- Enter the HRA amount received from your employer
- Input the actual rent paid during the year
- Select whether you live in a metro city (affects HRA calculation)
Review Your Results
The calculator will display:
- Total income and taxable income
- Tax liability before rebate
- Rebate under Section 87A (if applicable)
- Net tax payable after rebate
- Effective tax rate
- Visual breakdown through charts
Income Tax Slab Rates for FY 2024-25 and FY 2025-26
New Tax Regime (FY 2025-26)
Recommended for most taxpayers| Income Range | Tax Rate | Tax on Slab |
|---|---|---|
| Up to ₹4,00,000 | Nil | ₹0 |
| ₹4,00,001 - ₹8,00,000 | 5% | ₹20,000 |
| ₹8,00,001 - ₹12,00,000 | 10% | ₹40,000 |
| ₹12,00,001 - ₹16,00,000 | 15% | ₹60,000 |
| ₹16,00,001 - ₹20,00,000 | 20% | ₹80,000 |
| ₹20,00,001 - ₹24,00,000 | 25% | ₹1,00,000 |
| Above ₹24,00,000 | 30% | Variable |
Old Tax Regime (Both Years)
With deductions available| Income Range | Tax Rate | Tax on Slab |
|---|---|---|
| Up to ₹3,00,000 | Nil | ₹0 |
| ₹3,00,001 - ₹5,00,000 | 5% | ₹10,000 |
| ₹5,00,001 - ₹10,00,000 | 20% | ₹1,00,000 |
| Above ₹10,00,000 | 30% | Variable |
Super Senior Citizens (80+ years): Basic exemption up to ₹5,00,000
Surcharge and Education Cess
Additional Charges on Income Tax
Education Cess
Education Cess is levied at 4% on the total income tax liability (including surcharge, if applicable). This cess is used to fund education initiatives across India.
Surcharge Rates
| Income Range | Surcharge Rate | Applicable To |
|---|---|---|
| Up to ₹50 lakhs | Nil | All taxpayers |
| ₹50 lakhs - ₹1 crore | 10% | Individuals & HUF |
| ₹1 crore - ₹2 crores | 15% | Individuals & HUF |
| ₹2 crores - ₹5 crores | 25% | Individuals & HUF |
| Above ₹5 crores | 37% | Individuals & HUF |
Calculation Example
For income of ₹60 lakhs:
- Income Tax: ₹11,70,000
- Surcharge (10%): ₹1,17,000
- Sub-total: ₹12,87,000
- Education Cess (4%): ₹51,480
- Total Tax: ₹13,38,480
Rebate under Section 87A
Tax Rebate Details
When the total taxable income of the taxpayer is within specified limits, rebate can be claimed, potentially making their tax liability zero.
| Regime Chosen | Financial Year | Income Limit | Rebate Amount | Effective No-Tax Limit |
|---|---|---|---|---|
| New Regime | FY 2025-26 | ₹12,00,000 | ₹60,000 | ₹12,00,000 |
| New Regime | FY 2024-25 | ₹7,00,000 | ₹25,000 | ₹7,00,000 |
| Old Regime | Both Years | ₹5,00,000 | ₹12,500 | ₹5,00,000 |
Key Points about Section 87A Rebate:
- Rebate is available only to resident individuals
- The rebate amount is the lower of the specified amount or the actual tax liability
- Rebate is not applicable for special tax rates (like capital gains)
- In the new regime for FY 2025-26, individuals with income up to ₹12 lakhs pay zero tax
- Rebate is calculated before adding education cess
Rebate Calculation Example
New Regime FY 2025-26:
Income: ₹10,00,000
- Tax on ₹4-8 lakhs (5%): ₹20,000
- Tax on ₹8-10 lakhs (10%): ₹20,000
- Total Tax: ₹40,000
- Rebate u/s 87A: ₹40,000
- Net Tax: ₹0
Income Tax Calculation for Salaried Employees
Complete Guide for Salary Income Tax
Step 1: Calculate Gross Total Income
Your gross total income includes:
- Basic Salary: Fixed component of your salary
- Dearness Allowance (DA): If applicable
- House Rent Allowance (HRA): Subject to exemption rules
- Special Allowances: Transport, medical, etc.
- Bonus & Incentives: Annual bonus, performance incentives
- Other Perquisites: Company car, phone bills, etc.
Step 2: Calculate HRA Exemption
HRA exemption is the minimum of:
- Actual HRA received
- 50% of basic salary (metro cities) or 40% (non-metro)
- Actual rent paid minus 10% of basic salary
Step 3: Apply Standard Deduction
Standard deduction of ₹75,000 is available for all salaried employees in FY 2025-26 (increased from ₹50,000).
Step 4: Claim Other Deductions
Under Old Regime:
- Section 80C: ₹1,50,000
- Section 80D: ₹25,000-₹1,00,000
- Section 80CCD(1B): ₹50,000
- Section 80TTA: ₹10,000
- Section 80G: Donations
- Home loan interest: ₹2,00,000
Under New Regime:
- Limited deductions available
- Standard deduction: ₹75,000
- Employer NPS contribution
- Interest on education loan
- Certain allowances
Step 5: Calculate Tax Liability
Apply the appropriate tax slabs based on your chosen regime and calculate the final tax liability after considering rebates and cess.
Salary Calculation Example
Annual Package: ₹8,00,000
Gross Income Breakdown:
- Basic: ₹4,00,000
- HRA: ₹2,00,000
- Special Allowance: ₹2,00,000
Exemptions & Deductions:
- HRA Exemption: ₹1,60,000
- Standard Deduction: ₹75,000
Taxable Income:
- ₹8,00,000 - ₹1,60,000 - ₹75,000
- = ₹5,65,000
After 87A Rebate: ₹0
Benefits of Using Our Income Tax Calculator
Accurate Calculations
Get precise tax calculations based on the latest Budget 2025 updates, including revised tax slabs and enhanced rebates under Section 87A.
Regime Comparison
Compare old vs new tax regimes side by side to determine which option provides maximum tax savings for your specific income and deductions.
Mobile Responsive
Access the calculator from any device - desktop, tablet, or smartphone. The responsive design ensures optimal user experience across all screen sizes.
Visual Breakdown
Interactive charts and graphs provide visual representation of your tax breakdown, making it easy to understand where your money goes.
Secure & Private
Your financial data is processed securely without storing any personal information. All calculations are performed client-side for maximum privacy.
Real-time Results
Get instant tax calculations as you input your data. No waiting, no delays - see your tax liability update in real-time as you make changes.
For Individual Taxpayers
- Plan your investments for maximum tax savings
- Understand the impact of different income sources
- Make informed decisions about tax regime selection
- Calculate advance tax requirements
- Optimize HRA and other allowances
For Tax Professionals
- Quick calculations for multiple clients
- Accurate projections for tax planning
- Scenario analysis for different investment options
- Professional-grade accuracy and reliability
- Updated with latest tax law changes
Frequently Asked Questions
What is the new tax regime for FY 2025-26?
The new tax regime for FY 2025-26 features revised tax slabs: 0% for income up to ₹4 lakh, 5% for ₹4-8 lakh, 10% for ₹8-12 lakh, 15% for ₹12-16 lakh, 20% for ₹16-20 lakh, 25% for ₹20-24 lakh, and 30% for income above ₹24 lakh. The rebate under Section 87A has been increased to ₹60,000.
Who is eligible for the ₹60,000 rebate under Section 87A?
Resident individuals with total income up to ₹12 lakh under the new tax regime are eligible for a rebate of ₹60,000 under Section 87A. This effectively means no tax liability for income up to ₹12 lakh for eligible taxpayers.
What deductions are available under the new tax regime?
The new tax regime offers limited deductions compared to the old regime. Key deductions include: Standard deduction of ₹75,000, deduction under Section 80CCD(2) for employer's contribution to NPS, and deduction under Section 80CCH for Agniveer Corpus Fund contribution.
How is HRA exemption calculated?
HRA exemption is calculated as the minimum of: 1) Actual HRA received, 2) 50% of basic salary for metro cities (40% for non-metro cities), or 3) Rent paid minus 10% of basic salary. This exemption is only available under the old tax regime.
Which tax regime should I choose?
The choice between old and new tax regimes depends on your income level and eligible deductions. Generally, the new regime is beneficial for taxpayers with lower deductions, while the old regime may be better for those with significant deductions like 80C, 80D, HRA, and home loan interest.
What is the standard deduction for FY 2025-26?
The standard deduction for salaried individuals and pensioners is ₹75,000 for FY 2025-26 under both old and new tax regimes. This is an increase from the previous ₹50,000 limit.
Frequently Asked Questions
Get answers to common questions about income tax calculation and planning