Income Tax Calculator for Tax Year 2026-27 — New and Old Regime Side by Side

How to use the income tax calculator

1. Enter your Annual gross income: salary plus any other income taxed at slab rates, such as savings or FD interest. Leave out capital gains.
2. Keep Salaried or pensioner ticked if you earn a salary or pension, so the standard deduction is applied. Untick it if your income is from other sources only.
3. Choose your Age during the year: below 60, 60 to 79, or 80 or above. Age changes the old-regime slabs only.
4. Enter your Section 123 / 80C investments (old regime) and any Other old-regime deductions and exemptions.
5. If your employer pays into NPS for you and that amount is part of your income, enter the deductible part in Employer NPS contribution included in income.
6. Read which regime costs less and by how much, the tax under each regime, your effective rate and the monthly tax. The tables show each step and the tax on every slab.

What it does and when to use it

The calculator works out income tax for a resident individual for tax year 2026-27 under the Income-tax Act 2025. It runs both regimes on the same income, so you can see straight away which one leaves you with more money.

Use it when you:

• Choose a regime at the start of the year, or when you file your return.
• Check your employer’s TDS against what you expect to owe.
• Weigh a salary offer, to see how much of a raise goes to tax.
• Decide whether an investment is worth it for tax, by comparing the old regime with and without it.

If you want to start from your CTC instead of your gross salary, the CTC to In-hand Salary Calculator works out PF, gratuity and tax for you. If you pay rent, work out your exempt amount first with the HRA Calculator and add it to the other deductions box.

Tax rates for tax year 2026-27

These are the rates in the Income-tax Act 2025, confirmed for 2026-27 by the Finance Bill 2026 memorandum.

New regime (section 202), all ages

Old regime

Other figures the calculator uses

How it works

For each regime the calculator follows the same steps:

1. Taxable income = gross income − standard deduction (if salaried) − deductions allowed in that regime. The new regime only takes off the standard deduction and employer NPS. The old regime also takes off your section 123 amount (capped at ₹1,50,000) and your other deductions.
2. Tax on slabs: each slice of income is taxed at its own rate, and the slices are added up.
3. Rebate: if taxable income is within the rebate limit, the rebate is taken off. In the new regime, if income is a little above ₹12 lakh, marginal relief keeps the tax from being more than the income above ₹12 lakh.
4. Surcharge: if taxable income is over ₹50 lakh, a surcharge is added. Marginal relief stops the tax plus surcharge from rising by more than the income above each threshold.
5. Cess: 4% is added on the tax plus surcharge.

The calculator then compares the two totals. Tax is shown to the paisa, before the final rounding to the nearest ₹10. It all runs in your browser.

Worked examples

All figures are from the calculator, for a salaried person below 60 unless stated.

1. ₹12.75 lakh salary, no deductions. The new regime takes off ₹75,000, leaving exactly ₹12,00,000. Tax on the slabs is ₹60,000 and the rebate cancels all of it: New regime tax: ₹0.00. The old regime, with only the ₹50,000 standard deduction, comes to ₹1,87,200.

2. ₹12.85 lakh salary. Taxable income in the new regime is ₹12,10,000. Slab tax is ₹61,500, but marginal relief limits it to the ₹10,000 above ₹12 lakh. With 4% cess, New regime tax: ₹10,400.00, an effective rate of 0.81%.

3. ₹15 lakh salary with ₹1.5 lakh of section 123 investments. The new regime gives taxable income of ₹14,25,000 and New regime tax: ₹97,500.00. The old regime gives ₹13,00,000 of taxable income and Old regime tax: ₹2,10,600.00. The new regime saves ₹1,13,100, even with the full section 123 deduction.

4. ₹60 lakh salary. In the new regime, taxable income of ₹59,25,000 gives slab tax of ₹13,57,500. It is above ₹50 lakh, so a 10% surcharge of ₹1,35,750 applies, then cess of ₹59,730: New regime tax: ₹15,52,980.00. The old regime with ₹1.5 lakh of investments comes to ₹17,76,060.

5. A 65-year-old pensioner with ₹9 lakh. With ₹1.5 lakh of section 123 investments and ₹50,000 of other deductions, the old regime uses the senior slabs (nil up to ₹3 lakh): Old regime tax: ₹41,600.00. The new regime’s taxable income of ₹8,25,000 is under ₹12 lakh, so the rebate makes it nil.

Which regime is lower?

For most salaried people the new regime now costs less, because its slabs are wider and its rebate covers taxable income up to ₹12 lakh. The old regime wins only when your deductions are large: typically a full section 123 amount plus home-loan interest, a sizeable HRA exemption, health insurance and your own NPS contribution together. The Old vs New Tax Regime Calculator works out exactly how much in deductions you would need for the old regime to break even.

Limits and tips

• Slab-rate income only. Capital gains, crypto, lottery and other special-rate income are not covered, and nor are non-residents, HUFs or companies.
• One box for other deductions. The calculator does not check the limit on each old-regime deduction you put in the other deductions box. Enter only what you are allowed to claim.
• Employer NPS limit. Enter the amount that falls within the limit for your regime (14% or 10% of basic + DA). The calculator deducts what you enter in both regimes.
• Professional tax is deductible from salary only in the old regime. Add it to the other deductions box if you use the old regime.
• Before rounding. Your final tax is rounded to the nearest ₹10, so expect a few rupees of difference.
• Your return decides. The Income Tax Department’s e-filing utility gives the final figure. This calculator is for planning.