Income Tax Calculator
Estimate your income tax liability. Select your tax regime, enter your annual income, and add applicable deductions.
Important
Tax slabs are configurable. The default values shown are for illustration. Update the tax configuration to match current tax rules in your jurisdiction. This calculator is for estimation only.
Estimated Tax Liability
Understanding Income Tax
Income tax is calculated on taxable income after deductions. Different tax regimes have different slab rates and deduction eligibility. Tax rules change periodically — consult a tax professional for current regulations.
New tax regime slabs — FY 2026-27 (AY 2027-28)
| Income Range | 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% |
Standard deduction: ₹75,000 against salary income. Section 87A rebate of ₹60,000 effectively makes tax liability nil for taxable income up to ₹12,00,000 under the new regime (the rebate does not apply to income taxed at special rates — capital gains, lottery/betting winnings, crypto gains).
Old regime vs. new regime — when old still wins
The new regime offers lower slab rates but drops most deductions (80C, HRA, home loan interest under 24(b), etc.). The old regime can still work out cheaper for taxpayers with large deduction claims — typically those with significant 80C investments, HRA claims in a high-rent city, and home loan interest. As a rule of thumb: if total eligible deductions exceed roughly ₹4–4.5 lakh, it is worth calculating both regimes before filing.
Common income tax mistakes
- Assuming the new regime is always better. It depends entirely on your deduction profile — always compare both.
- Forgetting cess. The 4% health and education cess applies on top of the slab-computed tax in both regimes.
- Missing the 87A rebate cutoff. The rebate makes tax nil up to ₹12L taxable income under the new regime — but it is a cliff, not a gradual phase-out, so income just above that threshold is taxed from ₹0, not just on the excess.