# Old vs New Tax Regime Calculator

> Compare income tax under the old and new regimes for FY 2025-26 with standard deduction, 80C, 80D, HRA, home-loan interest, 87A rebate, surcharge and cess.

Category: India tax & investing · Applies to: India · Last updated: 2026-10-29
Interactive calculator: https://calculators.geekmidst.com/calculators/india-old-vs-new-tax-regime-calculator

The new regime has lower slab rates and a ₹75,000 standard deduction but allows few deductions; the old regime allows HRA, 80C, 80D and home-loan interest. Enter both sets of figures to see which costs less.

Also called: Income tax regime comparison, New vs old regime calculator.

## Inputs
- Your age during the year (options: Below 60, 60 to 79 (senior citizen), 80 or over (super senior); default below60)
- Gross salary (year) (default 1500000)
- Other income (interest, rent after deductions) (default 0; optional)
- HRA exemption (old regime) (default 120000; optional)
- 80C investments (old regime, max ₹1.5 lakh) (default 150000; optional)
- 80D health insurance deduction (old regime) (default 25000; optional)
- Home-loan interest, self-occupied (old regime, max ₹2 lakh) (default 0; optional)
- Other old-regime deductions (default 0; optional)
- Employer NPS contribution, 80CCD(2) (both regimes) (default 0; optional)
- Currency (default INR)

## Results
- Lower tax
- Tax under the new regime
- Tax under the old regime
- Difference
- Taxable income (new)
- Taxable income (old)

## Formula

```
Taxable (new) = Salary − ₹75,000 + Other − 80CCD(2); Taxable (old) = Salary − ₹50,000 − HRA + Other − 80C (≤ ₹1.5 L) − 80D − home-loan interest (≤ ₹2 L) − other − 80CCD(2). Tax = slab tax − rebate u/s 87A (with marginal relief) + surcharge (with marginal relief) + 4% health and education cess
```

Where:
- Slab tax: tax from the regime’s rate table for your age
- 87A rebate: new: up to ₹60,000 if income ≤ ₹12 lakh; old: up to ₹12,500 if income ≤ ₹5 lakh
- Cess: 4% of tax plus surcharge

## Worked example
1. New: 15,00,000 − 75,000 = ₹14,25,000; tax = 60,000 + 15% × 2,25,000 = 93,750; + 4% cess = ₹97,500.
2. Old: 15,00,000 − 50,000 − 1,20,000 − 1,50,000 − 25,000 = ₹11,55,000.
3. Old tax = 1,12,500 + 30% × 1,55,000 = 1,59,000; + 4% cess = ₹1,65,360.

**Result:** On a ₹15 lakh salary with ₹2.95 lakh of old-regime deductions, the new regime saves ₹67,860.

## What the result means

The old regime wins only when your deductions and exemptions are large. Increase the deduction inputs to find your break-even point; most salaried people with modest deductions now pay less under the new regime.

## Assumptions and limits
- Rates are for FY 2025-26 (AY 2026-27), the year covered by the Finance Act 2025, as published by the Income Tax Department. They are not yet updated for tax year 2026-27 under the Income-tax Act, 2025.
- You are a resident individual and all income is taxed at normal slab rates (no special-rate capital gains, lottery or similar income).
- New regime: nil up to ₹4 lakh, then 5%, 10%, 15%, 20%, 25% in ₹4 lakh steps and 30% above ₹24 lakh; rebate up to ₹60,000 when income is at most ₹12 lakh, with marginal relief just above it.
- Old regime: nil up to ₹2.5 lakh (₹3 lakh at 60–79, ₹5 lakh at 80+), 5% to ₹5 lakh, 20% to ₹10 lakh, 30% above; rebate up to ₹12,500 when income is at most ₹5 lakh.
- Surcharge of 10% above ₹50 lakh, 15% above ₹1 crore, 25% above ₹2 crore, and above ₹5 crore 25% (new) or 37% (old), with marginal relief; 4% cess on tax plus surcharge.
- Capital gains and other special-rate income, agricultural income and losses are not handled.
- Deduction limits other than 80C and self-occupied home-loan interest are not checked; enter allowable amounts.
- Final tax is not rounded to the nearest ₹10 as on a return.

## Rules used
- Jurisdiction: India
- Effective from: 2025-04-01
- Authority: Income Tax Department (CBDT), Finance Act 2025, for FY 2025-26 / AY 2026-27
- Last checked: 2026-10-29

## Questions

### Is income up to ₹12 lakh tax-free in the new regime?

For FY 2025-26 a resident individual with total income up to ₹12 lakh pays no tax under the new regime because of the ₹60,000 rebate. For salaried people that means salary up to ₹12.75 lakh after the ₹75,000 standard deduction.

### Which deductions are allowed in the new regime?

Very few: the standard deduction and employer NPS contribution under 80CCD(2) are the main ones for employees. HRA, 80C, 80D and self-occupied home-loan interest are not allowed.

## Sources
- [Income Tax Department — tax rates for AY 2026-27 (senior citizens and super senior citizens)](https://www.incometax.gov.in/iec/foportal/help/individual/return-applicable-2)
- [Income Tax Department — individuals with business or professional income, AY 2026-27](https://www.incometax.gov.in/iec/foportal/help/individual-business-profession)
- [CBDT — e-filing ITR-4 validation rules, AY 2026-27](https://www.incometax.gov.in/iec/foportal/sites/default/files/2026-05/CBDT_e-Filing_ITR%204_Validation%20Rules_AY%202026-27.pdf)
- [Income Tax Department — FAQs on new vs old tax regime](https://www.incometax.gov.in/iec/foportal/help/new-tax-vs-old-tax-regime-faqs)

## Related calculators
- [HRA Exemption Calculator](https://calculators.geekmidst.com/calculators/hra-exemption-india-calculator)
- [In-Hand Salary Calculator](https://calculators.geekmidst.com/calculators/india-salary-in-hand-calculator)
- [Home Loan Tax Benefit Calculator](https://calculators.geekmidst.com/calculators/india-home-loan-tax-benefit-calculator)
- [Percentage Calculator](https://calculators.geekmidst.com/calculators/percentage-calculator)

_Tax rules change and depend on how a supply is classified. Use this as a guide and confirm with the official notifications or a tax professional._

Source: GM¹X CalcVerse — https://calculators.geekmidst.com/calculators/india-old-vs-new-tax-regime-calculator