Calculate your income tax liability in India using current tax slabs. Includes 4% education cess for accurate calculation.
New Regime Tax Slabs (FY 2025-26 - Current):
• Up to ₹4 Lakhs: Nil (Exemption Limit)
• ₹4 - ₹8 Lakhs: 5%
• ₹8 - ₹12 Lakhs: 10%
• ₹12 - ₹16 Lakhs: 15%
• ₹16 - ₹20 Lakhs: 20%
• ₹20 - ₹24 Lakhs: 25%
• Above ₹24 Lakhs: 30%
Plus: 4% Health & Education Cess on total tax
Standard Deduction: ₹75,000
Tax-Free Income Limit: Up to ₹12 Lakhs (with Section 87A Rebate)
The New Regime (introduced in FY 2023-24, default from FY 2024-25) offers lower tax rates and higher exemption limit (₹4 lakh) but doesn't allow deductions like HRA, 80C. The Old Regime allows tax-saving deductions (HRA, LTA, 80C, 80D) but has higher tax rates and lower exemption limit (₹2.5 lakh). Most salaried employees benefit from the New Regime. Use this calculator to compare both.
Income tax is a tax levied on individuals and businesses based on their income. In India, tax rates vary based on income slabs and are progressive (higher income = higher rate).
4% Health & Education Cess is levied on income tax. It's a surcharge used for healthcare and education development. Total tax = Income Tax + (4% Cess on Income Tax).
Yes! Under the New Regime for FY 2025-26, income up to ₹12 lakh is effectively tax-free due to Section 87A tax rebate. The basic exemption limit is ₹4 lakh, but the rebate covers up to ₹12 lakh, resulting in zero tax for most salaried employees earning up to ₹12 lakh.
Standard Deduction for FY 2025-26: ₹75,000 (New Regime) or ₹50,000 (Old Regime). This is deducted from salary income automatically for all salaried employees and pensioners, reducing taxable income without itemizing expenses.