Income tax calculator for FY 2026-27

Enter your salary and deductions to see your tax under the new and the old regime side by side, with the working for each slab. Updated for the rules that apply from 1 April 2026.

Rules for FY 2026-27 · Checked 24 October 2026

15 lakh
₹

Before any deduction: basic, HRA, allowances and bonus. Leave out employer PF.

Your age
₹

Savings and FD interest, rent received.

Deductions for the old regime · ₹1.77L entered
₹

Work it out with the HRA calculator.

1.5 lakh
₹

Your PF, PPF, ELSS, life insurance, children's school fees, home loan principal. Up to ₹1.5 lakh.

25 thousand
₹

Up to ₹25,000 for your family (₹50,000 if 60+), plus up to ₹50,000 for parents.

₹

Your own NPS contribution, up to ₹50,000, on top of 80C.

₹

For a home you live in, up to ₹2 lakh.

₹

Education loan interest, donations and the like.

2.4 thousand
₹

Up to ₹2,500. Zero in states without it, such as Delhi.

Better for you: New regimeSave ₹1,04,550

a year compared with the old regime, for FY 2026-27.

  • That is ₹8,125 a month, or 6.5% of your income.
  • The old regime needs 3.67 lakh more in deductions to match the new one.
Tax rate6.5%
  • You keep₹14,02,500
  • Income tax₹97,500
How new regime tax adds up
Gross income
₹15,00,000
Standard deduction
− ₹75,000
Taxable income
₹14,25,000
Income slabRateTax
0 – 4,00,0000%₹0
4,00,000 – 8,00,0005%₹20,000
8,00,000 – 12,00,00010%₹40,000
12,00,000 – 14,25,00015%₹33,750
Tax on slabs
₹93,750
Health and education cess (4%)
₹3,750
Total tax (6.5% of income)
₹97,500

Resident individual, slab-rate income only. Capital gains are taxed separately. See the old vs new regime guide for how to choose.

New regime tax slabs for FY 2026-27

The new regime is the default. It has lower rates but allows almost no deductions apart from the ₹75,000 standard deduction for salaried people and pensioners. Budget 2026 kept these slabs unchanged.

Taxable incomeRate
Up to ₹4 lakhNil
₹4 lakh – ₹8 lakh5%
₹8 lakh – ₹12 lakh10%
₹12 lakh – ₹16 lakh15%
₹16 lakh – ₹20 lakh20%
₹20 lakh – ₹24 lakh25%
Above ₹24 lakh30%

If your taxable income is ₹12 lakh or less, a rebate of up to ₹60,000 cancels the tax. With the standard deduction, that makes a salary of up to ₹12.75 lakh tax-free.

Old regime tax slabs for FY 2026-27

You must choose the old regime to claim HRA, Section 80C, 80D, home loan interest and most other deductions. The standard deduction here is ₹50,000, and the rebate makes taxable income up to ₹5 lakh tax-free.

Taxable incomeBelow 6060 to 7980 and above
Up to ₹2.5 lakhNilNilNil
₹2.5 lakh – ₹3 lakh5%NilNil
₹3 lakh – ₹5 lakh5%5%Nil
₹5 lakh – ₹10 lakh20%20%20%
Above ₹10 lakh30%30%30%

How the calculator works it out

  1. Taxable income = salary + other income − standard deduction − (old regime only) HRA exemption and Chapter VI-A deductions. It is rounded to the nearest ₹10.
  2. Slab tax is charged slab by slab: only the part of your income inside each slab is taxed at that slab’s rate.
  3. Rebate removes the tax completely up to ₹12 lakh (new) or ₹5 lakh (old). Just above ₹12 lakh, marginal relief makes sure the tax is never more than the income above ₹12 lakh.
  4. Surcharge of 10% to 25% (37% in the old regime) applies above ₹50 lakh, again with marginal relief.
  5. Cess of 4% is added on the tax and surcharge.

Which regime should you pick?

Up to ₹12.75 lakh of salary the new regime always wins, because your tax is zero. Above that, the old regime only comes out ahead if your deductions, apart from the standard deduction, are large. Here is roughly how much you need:

SalaryNew regime taxOld regime wins or ties with deductions of at least
₹15 lakh₹97,500₹5.44 lakh
₹20 lakh₹1,92,400₹7.09 lakh
₹25 lakh and above₹3,19,800 at ₹25 lakhabout ₹8 lakh

Few people reach these amounts without a large HRA exemption plus a home loan. Read our old vs new regime guide for worked examples.

Frequently asked questions

Is income up to ₹12 lakh tax-free in FY 2026-27?

Yes, in the new regime. Taxable income up to ₹12 lakh gets a rebate of up to ₹60,000, which cancels the tax. Salaried people also get a ₹75,000 standard deduction, so a salary of ₹12.75 lakh pays no tax. The rebate does not cover capital gains taxed at special rates.

Did Budget 2026 change the tax slabs?

No. The slabs, rebate and standard deduction set in Budget 2025 continue for FY 2026-27. The new Income-tax Act, 2025 took effect on 1 April 2026, but it kept the same rates.

Can I switch between the old and new regime?

Salaried people can choose each year when filing the return. People with business income can switch back to the old regime only once.

Is the standard deduction available in both regimes?

Yes. It is ₹75,000 in the new regime and ₹50,000 in the old regime, for salaried employees and pensioners.

What is marginal relief?

If your income is slightly above ₹12 lakh, the tax due cannot be more than the amount by which your income exceeds ₹12 lakh. For example, at ₹12.25 lakh taxable income the slab tax is ₹63,750, but you pay only ₹25,000 plus cess.

Income tax by salary

Sources: Income Tax Department

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