Income Tax Calculator

About the Income Tax Calculator

An income tax calculator estimates your total tax liability for the year under the current regime rules. You enter your gross annual income, and the calculator applies the slab rates, the standard deduction for salaried taxpayers and pensioners, and the Section 87A rebate where applicable. It is a quick way to see whether the new regime or the old regime leaves more money in your pocket.

Current New Regime Slabs

Under the new regime, which is the default, current slab rates are:

Salaried individuals and pensioners get a standard deduction of Rs. 75,000, and the Section 87A rebate makes tax nil for resident individuals with taxable income up to Rs. 12 lakh under the new regime. A 4% health and education cess applies on the final tax.

Example Calculations

Example 1: A salaried person earning Rs. 12,75,000 gross has taxable income of Rs. 12,00,000 after the standard deduction. With the 87A rebate, the tax payable is zero.

Example 2: A salaried person earning Rs. 15,00,000 gross has taxable income of Rs. 14,25,000. Tax comes to 5% on the 4 to 8 lakh slab, 10% on the 8 to 12 lakh slab, and 15% on the remaining Rs. 2,25,000, totaling Rs. 82,500. Adding 4% cess gives a final liability of about Rs. 85,800.

New Regime vs Old Regime

The old regime keeps lower starting slabs but expects you to claim deductions such as Section 80C up to Rs. 1.5 lakh, Section 80D health insurance, and HRA. If your deductions are large, the old regime can still win. If you claim few deductions, the new regime usually costs less and needs no investment linked paperwork. An accurate comparison starts from gross income, subtracts regime specific deductions, and applies each set of slabs.

How to Use the Income Tax Calculator

1. Enter your gross annual income from salary and other sources.
2. Choose the regime or compare both.
3. The calculator applies the standard deduction, rebates, and slab rates.
4. Review the estimated annual and monthly tax outgo.

Benefits of Using the Income Tax Calculator

• Estimates both regimes in seconds, with no manual slab math.
• Helps you decide before the deduction proof submission deadline at work.
• Keeps advance tax planning realistic for freelancers and landlords.
• Free, instant, and based on the latest notified slab structure.

Frequently Asked Questions

Disclaimer: The Income Tax Calculator provides estimates for educational purposes only and is not investment advice. Actual returns, rates, and charges depend on the product provider and market conditions. Verify details on the official website and consult a financial advisor before investing.