Income Tax Calculator India (FY 2026-27)

An income tax calculator for FY 2026-27 (AY 2027-28) that works both regimes from one figure. Enter your annual income and it computes slab tax, theSection 87A rebate, marginal relief, surcharge and 4% cess for thenew regime and old regime side by side, then badges the cheaper one. Nothing is uploaded.

New regime vs old regime, settled in one look

Enter the gross figure once and both columns fill in. Each shows taxable income, tax as per slabs, the 87A rebate where it applies, surcharge where it applies, the 4% health and education cess, the total, and what that total works out to per month. Above them, three summary cards give the tax under the better regime, the rupee amount you save by choosing it, and your effective tax rate — total tax as a percentage of gross, which is almost always far below your top slab rate.

The deductions box applies to the old regime only, which is deliberate: 80C, 80D, HRA and home-loan interest are old-regime items. Leave it at zero and you are comparing the new regime against a bare old regime, which is the honest comparison if you claim nothing.

Zero tax up to ₹12.75 lakh — the actual math

A salaried income of ₹12,75,000 minus the ₹75,000 standard deduction leaves ₹12 lakh taxable. The slabs produce ₹60,000 of tax — 5% on the ₹4–8 lakh band is ₹20,000, 10% on the ₹8–12 lakh band is ₹40,000 — and the Section 87A rebate cancels exactly that. Just above the line, marginal reliefkeeps it fair: at ₹12.85 lakh gross, ₹12.10 lakh taxable, the slabs say ₹61,500 but you pay₹10,400, because relief limits the tax to the ₹10,000 by which you crossed ₹12 lakh, plus cess.

Worked examples for a salaried filer

With only ₹1.5 lakh claimed, the old regime never gets close. Its slabs have not moved in years while the new regime's have widened twice, so the gap grows with income rather than shrinking.

How many deductions before the old regime wins?

This is the question the comparison actually turns on, and the answer is a larger number than most people expect. Below is the deduction total at which the old regime merely draws level with the new one, at four salary points:

Put that against the real caps: 80C is limited to ₹1.5 lakh, 80CCD(1B) adds ₹50,000 for NPS, 80D runs to ₹75,000 with senior parents, and self-occupied home-loan interest is capped at ₹2 lakh. Those four together reach about ₹4.75 lakh, so the old regime effectively requires substantial HRA on top of a maxed-out set of everything else. That is why it now wins mainly for people renting in metro cities while repaying a home loan. Type your own total into the box to find your personal crossover rather than trusting a rule of thumb.

Surcharge above ₹50 lakh

Surcharge is levied on the tax, not the income, once total income passes ₹50 lakh: 10% up to ₹1 crore, 15% up to ₹2 crore, then 25%. The new regime caps surcharge at 25% while the old regime carries a 37% band above ₹5 crore — on its own a strong reason for very high earners to stay in the new regime. Marginal relief applies at each threshold so that crossing it by a rupee cannot cost more than the rupee. The calculator models that relief, but it is an approximation at the margins, so have a professional confirm anything near a threshold.

Assumptions and limits worth reading

Slabs here are for resident individuals below 60. There is no age input, so the old regime's higher basic exemption for senior citizens (₹3 lakh) and super-senior citizens (₹5 lakh) is not modelled — old-regime figures will be slightly overstated if you qualify. The new regime is the default when filing; choosing the old one is an active election, and for business or professional income that means Form 10-IEA.

Outside scope: capital gains taxed at special rates, agricultural income aggregation, relief under Section 89 for arrears, TDS timing and advance-tax instalments, and the interest that follows a shortfall. Treat every figure as a planning estimate rather than a filed return, and verify against the current Finance Act or your chartered accountant before acting. Rates do change between Budgets — the slabs above were checked against the FY 2026-27 position.

Related calculators

For indirect tax on the business side, the GST calculator handles the Indian slabs and the VAT calculator covers the same add-and-remove arithmetic for other countries. Billing clients around those figures is theinvoice generator. If the home-loan interest deduction is what decides your regime, the loan payment calculator shows how much of a year's payments is interest rather than principal. For US salaries instead, use thepaycheck calculator.