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Dual-Regime Tax Optimizer

Comparing Old vs New Regime for FY 2025-26

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Pro Tip

New Regime now includes a standard deduction of ₹75,000 for FY 2025-26.

Old Regime

Taxable Income₹12,50,000
Tax Amount₹1,87,500
Cess (4%)₹7,500
Total Tax₹1,95,000

New Regime

Best
Taxable Income₹14,25,000
Tax Amount₹93,750
Cess (4%)₹3,750
Total Tax₹97,500
💡

Potential Savings

Save ₹97,500 with New Regime Regime

DISCLAIMER: This tool provides estimates based on current laws and regulations. Tax, GST, and labor laws are subject to periodic changes. Consult a qualified professional for precise compliance.

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Using the Income Tax Calculator (FY 2025-26)

Compare Old vs New Tax Regime with our Dual-Regime Tax Optimizer. Updated for the latest budget provisions.

Latest RBI Rates
Updated Dec 24, 2025 | FY 2025-26 Compliant
Logic VerifiedCross-verified with Income Tax Department Portal

Key Features

Income Tax Calculator (FY 2025-26) Online Calculator India - Result Preview and Financial Dashboard
  • •Real-time comparison between Old and New Tax Regimes
  • •Includes latest 2024 Budget updates (Standard Deduction of ₹75,000 for New Regime)
  • •Calculates Section 87A rebate for income up to ₹7 Lakh (New Regime)
  • •Detailed breakdown of Surcharge and Health & Education Cess (4%)
  • •Input fields for 80C, 80D, HRA, and home loan interest (Old Regime)
  • •Private and secure: No data is shared or stored on our servers

How to calculate Income Tax Calculator (FY 2025-26)

Step-by-step Guide & Informational Intent

  1. 1.Select your age category (Individual, Senior Citizen, or Super Senior Citizen).
  2. 2.Enter your 'Annual Salary' and any 'Other Income' sources.
  3. 3.Input your investments under Section 80C, 80D, and other exemptions (for Old Regime).
  4. 4.The optimizer will instantly display your tax liability under both regimes.
  5. 5.Check the 'Suggestion' to see which regime saves you the most tax.

How the Calculation Works

Tax reflects the current slab rates for FY 2024-25. The New Regime is the default choice with lower rates but fewer deductions, while the Old Regime allows for traditional tax-saving investments. The calculator accounts for the increased standard deduction and the ₹7 Lakh rebate limit.

Important Assumptions

  • • Latest Finance Act 2024 slabs are applied
  • • Standard deduction is auto-calculated
  • • Section 87A rebate is applied where applicable
  • • Health & Education Cess of 4% is added to final tax
4.8/5(2.3K Ratings)
Mobile-First Optimized
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Tax Saving Scenarios

Income of ₹7 Lakh: Under the New Regime, you pay ₹0 tax thanks to the Section 87A rebate.
Income of ₹15 Lakh: The New Regime often saves ₹20,000+ compared to the Old Regime if deductions are limited.
High Deductions: If you have ₹3 Lakh+ in deductions (80C, HRA, Home Loan), the Old Regime might still be better.
Senior Citizens: Beneficiaries get higher basic exemption limits under the Old Regime.

Income vs Tax Liability (New Regime FY 2024-25)

Annual IncomeTax (Old Regime)Tax (New Regime)You Save
₹7.5 Lakhs₹24,500₹0₹24,500
₹12 Lakhs₹1,24,000₹82,500₹41,500
₹15 Lakhs₹2,02,500₹1,40,000₹62,500
"

The comparison logic is perfect. It correctly accounted for my Standard Deduction and 87A rebate which other calculators often miss. Highly reliable!

— Priya Sharma, Tax Consultant (Delhi)

Official Data Sources

Data SourceOfficial Verification
Income Tax IndiaDepartment of Revenue, Govt. of India
CBIC OfficialCentral Board of Indirect Taxes and Customs
MyIndianCalculator Team

Created by MyIndianCalculator Team

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Income Tax Calculator (FY 2025-26)

Compare Old vs New Tax Regime with our Dual-Regime Tax Optimizer. Updated for the latest budget provisions.

The Old Regime allows for various deductions (80C, 80D, HRA) but has higher tax rates. The New Regime (the default one) offers lower tax rates and a higher standard deduction but eliminates most exemptions. Our optimizer helps you decide which one results in lower tax liability based on your specific investments.
As per the latest 2024 Budget update, the Standard Deduction for salaried individuals has been increased to ₹75,000 for the New Tax Regime, while it remains ₹50,000 for those opting for the Old Regime.
Salaried individuals in India can choose their preferred regime every financial year at the time of filing their ITR. However, those with business or professional income have only a one-time option to switch back to the Old regime after opting for the New one.
Under the Old Regime, you can claim deductions up to ₹1.5 Lakh by investing in instruments like PPF, ELSS, EPF, Life Insurance premiums, and National Savings Certificates (NSC).
No. One of the major trade-offs of the New Tax Regime is that common exemptions like House Rent Allowance (HRA), Leave Travel Allowance (LTA), and professional tax are not available.
Under the New Tax Regime, no tax is payable if your total taxable income does not exceed ₹7 Lakh (effectively ₹7.75 Lakh after standard deduction), thanks to the rebate under Section 87A.