Income Tax Calculator - FY 2025-2026

Q: Can I use the income tax calculator for both old and new tax regimes?

Yes, you can use the income tax calculator for both the old and the new tax regimes. In fact, it helps you compare the two regimes side by side so you can make more informed financial planning decisions.

Q: Will the income tax calculator help with advance tax payments?

Yes, you can use the income tax calculator to estimate your advance tax liability. It gives you an idea of how much advance tax you may need to pay during the year.

Q: What is the difference between gross income and taxable income in the income tax calculator?

Gross income is your total income earned from all sources. Taxable income is the part of your income on which you owe tax, after subtracting eligible deductions and exemptions.

Q: Is the income tax calculator suitable for NRIs?

Yes, the income tax calculator can be used by NRIs along with resident Indian taxpayers.

Q: Can I use the income tax calculator if I earn foreign income?

Yes, you can use the income tax calculator if your foreign income is taxable in India. The calculator can help you understand your approximate tax liability on such income.

Updated as per Budget 2025

Calculate your income tax, compare old and new tax regimes and make smart financial planning decisions

What is the Income Tax Calculator?

The income tax calculator is an online tool that helps you work out your tax liabilities for a financial year based on your income and deductions. It provides a quick and hassle-free way to understand your tax liabilities.

The calculator can also be used to compare your tax liability under both the old and new tax regimes so you can choose the option that suits you best.

Income Tax Act 1961 prescribe two tax regimes – old and new. The old tax regime offers tax deductions but has relatively higher tax slabs, while the new tax regime offers relatively low tax slabs but does not permit any tax deductions. You can choose any of the regimes based on your tax liabilities.

Income tax calculator allows you to calculate your tax dues for the year in a few simple clicks.The tool also helps you compare your tax liabilities using both regimes.

How to Use the online Income Tax Calculator for

FY 2024-25 (AY 2025-26) & FY 2025-26 (AY 2026-27)?

Below is a step-by-step guide to using the income tax calculator:

Enter the FY and Age:

You should select the financial year or the Assessment year for which you want to calculate your tax liabilities. After choosing the financial year, you should enter your age as the tax slabs vary according to the age

Steps1

Add deductions and exemptions:

You can enter your eligible deductions under various sections like 80C, 80D, NPS contributions and others. You can make use of “Any other deduction” field to enter an eligible deduction other than the provided options.

Steps3

Compare results:

You can switch between regimes to see which one gives you a better tax break

Steps5

Enter your income:

Fill in your total income earned during the concerned financial year, such as your salary, rental income, capital gains and others. Under this tab, you can also mention exempt allowances and interest paid on home loan. Suppose if there is a source of income other than the mentioned options, then you can provide the details in the “Any other Income” field.

Steps2

Review the estimated tax:

The calculator will instantly show your estimated tax liability in both
the regimes for the financial year based on the inputs provided

Steps4

Steps

Enter the FY and Age:

Steps

Enter your income:

Steps

Add deductions and exemptions:

Steps

Review the estimated tax:

The calculator will instantly show your estimated tax liability in both the regimes for the financial year based on the inputs provided

Steps

Compare results:

You can switch between regimes to see which one gives you a better tax break

Tax Updates for FY25-26

Here's a simplified look at the key tax-related announcements in Budget 2025,
broken down into easy-to-read sections.

1) New Income Tax Slabs (applicable from FY 2025-26)

The new tax regime has revised slabs for all individuals, regardless of age. Here’s how it now looks.

New tax regime
Annual income	Tax 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%

Note:No age-based slab differentiation exists under the new regime

2) Deductions and rebates
- The rebate limit under Section 87A
  has increased from
  ₹ 25,000 to ₹ 60,000
- The higher rebate limit means
  individuals earning up to ₹ 12 lakh
  annually will now have zero tax
  liability under the new regime (post-
  rebate)
- No change has been made to
  standard deductions or exemptions,
  as the new regime already excludes
  most traditional deductions
Salaried individuals can claim a standard deduction against their Income from salary under both the regimes. The deduction amounts are as follows:
Regime Deduction amount
New tax regime 75,000
Old tax regime 50,000
3) Upcoming Income Tax Bill
- •A new Income Tax Bill will replace the Income Tax Act, 1961
- •The aim is to simplify tax rules & modernise the structure. Implementation details are awaited
4) TDS threshold changes
- TDS limits have been raised across various sections, reducing the number of cases where tax is deducted at source for small transactions
- Specific limits will be notified in the detailed circulars issued by the CBDT
5) Old Tax Regime (no changes)
The old regime remains unchanged and continues to offer age-wise tax slabs along with deductions (e.g., under Sections 80C, 80D, HRA, etc.).
For individuals below 60 years
Annual income Tax rate
Up to ₹ 2,50,000 NIL
₹ 2,50,001 – ₹ 5,00,000 5%
₹ 5,00,001 – ₹ 10,00,000 20%
Above ₹ 10,00,000 30%
For senior citizens (60–80 years)
Annual income Tax rate
Up to ₹ 3,00,000 NIL
₹ 3,00,001 – ₹ 5,00,000 5%
₹ 5,00,001 – ₹ 10,00,000 20%
Above ₹ 10,00,000 30%
For super senior citizens (above 80 years)
Annual income Tax rate
Up to ₹ 5,00,000 NIL
₹ 5,00,001 – ₹ 10,00,000 20%
Above ₹ 10,00,000 30%

Regime	Deduction amount
New tax regime	75,000
Old tax regime	50,000

For individuals below 60 years
Up to ₹ 2,50,000	NIL
₹ 2,50,001 – ₹ 5,00,000	5%
₹ 5,00,001 – ₹ 10,00,000	20%
Above ₹ 10,00,000	30%

For senior citizens (60–80 years)
Up to ₹ 3,00,000	NIL
₹ 3,00,001 – ₹ 5,00,000	5%
₹ 5,00,001 – ₹ 10,00,000	20%
Above ₹ 10,00,000	30%

For super senior citizens (above 80 years)
Up to ₹ 5,00,000	NIL
₹ 5,00,001 – ₹ 10,00,000	20%
Above ₹ 10,00,000	30%

Understanding the basics of income tax in India

Below are some basic details of income tax in India:

FY vs AY

FY stands for Financial Year and refers to the year in which you earn your income. AY stands for Assessment Year and is the year that follows the financial year, during which the income earned is taxed. This is also when you file your Income Tax Return (ITR).

What is Taxable income?

Taxable income is the portion of your total income on which tax is calculated. It is derived by subtracting eligible deductions and exemptions from your gross income for a financial year.

Some common types of income that can be taxed include salary, capital gains, business profits or rental income. Deductions that can be claimed may include investments, insurance premiums, home loan interest and others. Once these are accounted for, the remaining amount becomes your taxable income.

Eligibility of exemptions in the old and new tax regime

Old and New Tax Regime
Exemption Name	Old Regime	New Regime
House rent allowance	Yes	No
House Rent Allowance (HRA)	Yes	No
Leave Travel Allowance (LTA)	Yes	No
Professional Tax	Yes	No
Entertainment Allowance	Yes	No
Helper Allowance	Yes	No
Children Education Allowance	Yes	No
Food Allowance	Yes	No
Other Special Allowances (Sec 10(14))	Yes	No
Standard Deduction (₹50,000)	Yes	No
Section 80C (LIC, PPF, ELSS, etc.)	Yes	No
Section 80D (Health Insurance Premium)	Yes	No
Section 80E (Education Loan Interest)	Yes	No
Section 80TTA (Savings Account Interest)	Yes	No
Section 80TTB (Senior Citizens’ Interest)	Yes	No
Employee’s Own Contribution to NPS	Yes	No
Minor Child Income Exemption	Yes	No
Donations to Political Parties or Registered Trusts	Yes	No
Interest on Home Loan (Self-occupied/vacant – Sec 24)	Yes	No
Additional Depreciation (Sec 32(1)(iia))	Yes	No
Section 32AD, 33AB, 33ABA Deductions	Yes	No
Scientific Research (Sec 35(1), 35(2AA))	Yes	No
Section 35AD and 35CCC Deductions	Yes	No
Exemption for SEZ Units (Section 10AA)	Yes	No
Section 80CCD(2): Employer’s NPS Contribution	Yes	Yes
Section 80JJAA: Deduction for New Employment Generation	Yes	Yes

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Income Tax Calculator - FY 2025-2026

What is the Income Tax Calculator?

How to Use the online Income Tax Calculator for

FY 2024-25 (AY 2025-26) & FY 2025-26 (AY 2026-27)?

Enter the FY and Age:

Add deductions and exemptions:

Compare results:

Enter your income:

Review the estimated tax:

Enter the FY and Age:

Enter your income:

Add deductions and exemptions:

Review the estimated tax:

Compare results:

Tax Updates for FY25-26

1) New Income Tax Slabs (applicable from FY 2025-26)

2) Deductions and rebates

3) Upcoming Income Tax Bill

4) TDS threshold changes

5) Old Tax Regime (no changes)

Understanding the basics of income tax in India

FY vs AY

What is Taxable income?

Eligibility of exemptions in the old and new tax regime

Frequently Asked Questions

Can I use the income tax calculator for both old and new tax regimes?

Will the income tax calculator help with advance tax payments?

What is the difference between gross income and taxable income in the income tax calculator?

Is the income tax calculator suitable for NRIs?

Can I use the income tax calculator if I earn foreign income?

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