Income Tax Calculator

Estimate tax on taxable income. Choose new or old regime. Rebate 87A applied where applicable.

Gratuity PPF EPF / PF EMI SIP FD NPS Income Tax HRA

Taxable income (annual) ₹

₹

Regime

New regimeOld regime

Tax (incl. 4% cess)

Tax before cess₹ 50,000

Cess (4%)₹ 2,000

Total tax₹ 52,000

Effective rate5.20%

New regime: 0–3L nil, 3–7L 5%, 7–10L 10%, 10–12L 15%, 12–15L 20%, 15L+ 30%. Rebate 87A: tax nil if ≤ ₹25,000. Use taxable income after deductions.

India has two income tax regimes: the Old Regime (with deductions like 80C, 80D, HRA) and the New Regime (lower slab rates but fewer deductions). From FY 2023-24, the new regime is the default. This calculator helps you quickly estimate your tax under either regime.

What is this calculator?

An Income Tax Calculator estimates the total tax you owe based on your taxable income and the chosen regime. Enter your taxable income (after deductions for old regime), select old or new regime, and see the tax breakdown: tax before cess, cess at 4%, total tax, and effective tax rate.

Formula

Tax is calculated by applying progressive slab rates to your income:

New Regime (FY 2024-25):
• 0 – ₹3 lakh: Nil
• ₹3 – ₹7 lakh: 5%
• ₹7 – ₹10 lakh: 10%
• ₹10 – ₹12 lakh: 15%
• ₹12 – ₹15 lakh: 20%
• Above ₹15 lakh: 30%

Rebate 87A: If total tax ≤ ₹25,000 (income up to ~₹7 lakh), tax becomes zero.

Old Regime:
• 0 – ₹2.5 lakh: Nil
• ₹2.5 – ₹5 lakh: 5%
• ₹5 – ₹10 lakh: 20%
• Above ₹10 lakh: 30%

Health & Education Cess: 4% on total tax.

Example

Taxable income: ₹12,00,000 under the new regime. • 0 – 3L: ₹0 • 3 – 7L: 4L × 5% = ₹20,000 • 7 – 10L: 3L × 10% = ₹30,000 • 10 – 12L: 2L × 15% = ₹30,000 • Tax before cess = ₹80,000 • Cess = ₹80,000 × 4% = ₹3,200 • Total tax = ₹83,200 • Effective rate = 6.93% Under the old regime (same income, no deductions): Tax = ₹1,17,000 + cess = ₹1,21,680. The new regime saves ₹38,480 in this case.

Benefits

✓Instantly compare old vs new regime. Choose the one that saves more tax.
✓See the effective tax rate on your income, not just the slab rate.
✓Understand how cess and rebate 87A affect your final tax.
✓Plan salary restructuring, investments (80C, NPS), and deductions accordingly.

Frequently Asked Questions

Which regime should I choose?: If your total deductions (80C, 80D, HRA, LTA, home loan interest, NPS) exceed ₹3–4 lakh, the old regime is likely better. If your deductions are minimal, the new regime with lower slab rates usually saves more.
Can I switch between regimes every year?: Salaried employees can switch between old and new regime every financial year. Business/professional income earners can switch only once.
What is the rebate under Section 87A?: Under the new regime, if your total tax is ≤ ₹25,000 (effectively income up to ₹7 lakh), the entire tax is waived as a rebate. Under the old regime, the rebate limit is ₹12,500 for income up to ₹5 lakh.
Is the 4% cess separate from income tax?: Yes. The Health & Education Cess of 4% is charged on the total income tax (including surcharge if applicable). It goes toward funding health and education initiatives.
What is surcharge?: Surcharge applies to high incomes: 10% for ₹50L–₹1Cr, 15% for ₹1Cr–₹2Cr, 25% for ₹2Cr–₹5Cr, 37% for above ₹5Cr (old regime). This calculator does not include surcharge. Add it separately for high incomes.

This calculator uses FY 2024-25 slab rates and does not include surcharge. For income above ₹50 lakh, surcharge applies additionally. Consult a CA for precise tax planning.