Income Tax Calculator
Compare the old and new regimes under the Finance Act 2025, with slab-wise workings, surcharge, cess and your effective rate.
Income Tax Calculator (FY 2025-26 / AY 2026-27)
Compare the Old and New Tax Regimes on the Finance Act 2025 slabs — ₹75,000 standard deduction and full Section 87A rebate up to ₹12,00,000 of taxable income.
Tax Liability & Take-Home Comparison (FY 2025-26)
New Tax Regime (Default)
₹75,000 Std Ded- Taxable Income: ₹ 0
- Standard Deduction: ₹ 75,000
- Rebate u/s 87A (Marginal Relief): Applicable up to ₹12.70L
- Surcharge & Health Cess (4%): ₹ 0
- Total Annual Tax Payable: ₹ 0
- Monthly In-Hand Take-Home: ₹ 0
Old Tax Regime
Itemized Deductions- Taxable Income: ₹ 0
- Standard Deduction: ₹ 50,000
- Total 80C/80D/HRA Deductions: ₹ 0
- Surcharge & Health Cess (4%): ₹ 0
- Total Annual Tax Payable: ₹ 0
- Monthly In-Hand Take-Home: ₹ 0
Frequently asked questions
How does Section 87A marginal relief work under the New Tax Regime for FY 2025-26?
Under the Finance Act 2025 New Tax Regime, taxable income up to ₹12,00,000 pays zero tax due to the Section 87A rebate (up to ₹60,000). For income exceeding ₹12,00,000, statutory marginal relief ensures that the total tax payable cannot exceed the amount by which taxable income exceeds ₹12,00,000. This marginal relief fully phases out at the break-even income of ₹12,70,588.
What is the standard deduction in FY 2025-26 (AY 2026-27)?
For salaried individuals, the standard deduction under the New Tax Regime is ₹75,000 (increased from ₹50,000 by the Finance Act 2024/2025). Under the Old Tax Regime, the standard deduction remains ₹50,000. Non-salaried and self-employed professionals are not eligible for standard deduction.
How is Surcharge Marginal Relief calculated for high net-worth incomes?
Surcharge applies at 10% above ₹50 Lakhs, 15% above ₹1 Crore, and 25% above ₹2 Crores. Surcharge marginal relief caps the total tax plus surcharge payable at the threshold tax plus the incremental income earned over that threshold (e.g. ₹50L, ₹1Cr, or ₹2Cr).
Which tax regime should I choose: Old or New?
The New Tax Regime is beneficial for individuals with deductions (Section 80C, 80D, HRA, Home Loan Interest) lower than approximately ₹3.75 Lakhs to ₹4.25 Lakhs. If your total eligible deductions exceed this threshold, the Old Regime may result in lower tax liability. CA Natasha & Company provides personalized regime selection advisory.
Numbers look off? Let us check the real position.
A calculator works from what you type in. A Chartered Accountant works from your actual books, notices and prior filings — which is usually where the difference lives.