Calculate your tax liability for FY 2025-26 under Old and New Tax Regime. Compare both regimes and choose the best option for maximum savings.
Maximum ₹1,50,000
Maximum ₹50,000 (additional)
Maximum ₹25,000
Maximum ₹10,000
Both regimes result in the same tax liability.
You could save ₹0 by choosing the New regime.
Instantly compare your tax liability under Old and New tax regimes side-by-side. Make an informed decision to choose the regime that saves you the most money.
Plan your investments and deductions throughout the year to minimize tax liability. Updated with latest FY 2025-26 tax slabs and rebate limits for accurate calculations.
Automatically calculates HRA exemption based on actual HRA received, rent paid, and basic salary. Factors in metro vs non-metro city differences for accurate results.
Includes all major deductions - Section 80C, 80D, 80E, 80G, 80CCD(1B), 80TTA/TTB. Accounts for age-based exemption limits and special benefits for senior citizens.
No need to manually calculate complex tax formulas. Get instant results for both regimes and identify potential tax savings through better planning and deductions.
Calculator reflects latest tax changes including increased standard deduction to ₹75,000, enhanced Section 87A rebate to ₹60,000, and new tax slabs.
💡 Pro Tip: If you have multiple investments and deductions, the Old Tax Regime often provides better savings. The New Regime is simpler and works best for those with minimal deductions!
The Old Tax Regime offers multiple deductions (80C, 80D, HRA, etc.) but has higher tax rates. The New Tax Regime has lower tax rates and higher standard deduction (₹75,000 for FY 2025-26) but doesn't allow most deductions. You can choose either regime when filing ITR.
New Regime tax slabs: Up to ₹4L (0%), ₹4-8L (5%), ₹8-12L (10%), ₹12-16L (15%), ₹16-20L (20%), ₹20-24L (25%), Above ₹24L (30%). Plus 4% Health & Education Cess. Section 87A rebate of ₹60,000 available for income up to ₹12 lakh.
HRA exemption is the minimum of: (1) Actual HRA received, (2) 50% of basic salary for metro cities or 40% for non-metro, (3) Rent paid minus 10% of basic salary. Only applicable under Old Tax Regime. Enter your basic salary, HRA, and rent details in the calculator.
Section 80C allows deductions for investments in PPF, ELSS, NSC, life insurance premiums, EPF, home loan principal, tuition fees, etc. Maximum limit is ₹1,50,000 per financial year. Only available under Old Tax Regime. This helps reduce your taxable income significantly.
Yes, salaried individuals can switch between regimes every financial year. However, if you have business income, you can opt out of the New Regime only once, and then you're locked into that choice. Choose wisely based on your deductions and income.
Section 87A provides a rebate of up to ₹12,500 (Old Regime) if taxable income is up to ₹5 lakh. Under New Regime, rebate is ₹60,000 if taxable income is up to ₹12 lakh. This means effectively no tax for income up to ₹12L in New Regime!
Yes! Under Old Tax Regime, senior citizens (60-80 years) get ₹3 lakh basic exemption, and super senior citizens (80+ years) get ₹5 lakh. They also get higher deduction limits for Section 80D (₹50,000) and 80TTB (₹50,000 on interest income).
Standard deduction is ₹50,000 in Old Regime and ₹75,000 in New Regime for salaried individuals. It's automatically deducted from gross salary. The increased standard deduction in New Regime makes it more attractive for many taxpayers.
Under New Regime, you can only claim home loan interest for let-out property (no limit). Interest on self-occupied property is NOT allowed. Under Old Regime, you can claim up to ₹2 lakh for self-occupied property under Section 24.
Choose Old Regime if you have significant deductions (₹2.5L+ in 80C, HRA, home loan, etc.). Choose New Regime if you have minimal investments and want simplicity. Use our calculator to compare both - it shows exactly which regime saves you more tax!
Calculate early, plan better: Use this calculator at the beginning of the financial year to plan your investments. Know how much you need to invest in Section 80C to maximize tax savings and avoid last-minute scrambling.
Maximize Section 80C: Invest the full ₹1.5 lakh in ELSS, PPF, NSC, or home loan principal repayment. Don't forget children's tuition fees and life insurance premiums also count towards this limit under Old Regime.
Don't ignore NPS Section 80CCD(1B): This provides an additional ₹50,000 deduction over and above Section 80C. Total tax saving potential of ₹2 lakh (₹1.5L + ₹0.5L) in Old Regime - that's massive!
Health insurance is crucial: Section 80D allows ₹25,000 deduction (₹50,000 for senior citizens). You save tax AND protect your family. You can claim for self, spouse, children, and parents - make full use of it.
Submit investment proofs to employer: Don't wait until ITR filing. Submit 80C, HRA, and other proofs to your employer for correct TDS deduction throughout the year. This improves your monthly cash flow.
Keep receipts and documents ready: Maintain rent receipts for HRA, investment certificates for 80C, medical insurance receipts for 80D. Proper documentation is essential if the Income Tax Department asks for verification.
Compare regimes annually: Your optimal tax regime can change based on salary hikes, new investments, or life changes (marriage, home loan, children). Use this calculator every year to ensure you're choosing the most beneficial regime.
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