Income Tax Calculator (FY 2026-27)
Compare income tax under the old and new regimes for FY 2026-27 (AY 2027-28) and see which saves you more.
New regime slabs for FY 2026-27
| Taxable income | Rate |
|---|---|
| Up to ₹4,00,000 | Nil |
| ₹4,00,001 – ₹8,00,000 | 5% |
| ₹8,00,001 – ₹12,00,000 | 10% |
| ₹12,00,001 – ₹16,00,000 | 15% |
| ₹16,00,001 – ₹20,00,000 | 20% |
| ₹20,00,001 – ₹24,00,000 | 25% |
| Above ₹24,00,000 | 30% |
Salaried taxpayers get a ₹75,000 standard deduction in the new regime. The Section 87A rebate makes tax nil for taxable income up to ₹12 lakh, so salaried income up to about ₹12.75 lakh pays no tax, with marginal relief just above the limit.
Old regime
The old regime keeps a ₹2.5 lakh basic exemption, a ₹50,000 standard deduction and deductions such as Section 80C (up to ₹1.5 lakh), 80D, HRA and home-loan interest. Rebate applies up to taxable income of ₹5 lakh.
Which regime should you pick?
The new regime usually wins unless your total deductions are large, often above ₹3–4 lakh at higher incomes. Enter your deductions in the calculator to compare directly. Employees can switch regime every year; business-income earners have restrictions.
Limits of this estimate
- Surcharge for income above ₹50 lakh is not included.
- Capital gains and special-rate income are not modelled.
- Employer NPS contribution and other special deductions are not included.
Rules are taken from publicly available Budget 2026 summaries. Verify against the Income Tax Department website before filing.
Frequently asked questions
Is income up to ₹12 lakh really tax-free?
Under the new regime, taxable income up to ₹12 lakh is tax-free because of the Section 87A rebate. Special-rate income such as certain capital gains is excluded from the rebate.
Can I switch between regimes?
Salaried individuals can choose a regime every financial year. Taxpayers with business income have limits on switching back.
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Last reviewed: October 2026. Results are estimates, not financial advice.