Income Tax Calculator · FY 2026-27
Income Tax Calculator — new vs old regime.
Estimate your income tax under both regimes for FY 2026-27 (AY 2027-28). Side-by-side comparison includes standard deduction, 87A rebate, surcharge bands and the 4% cess. The calculator tells you which regime saves more.
- Updated May 2026
- Built by CA Anil Agarwal
Total gross income — salary, business, interest etc. (Capital gains and special-rate income are not modelled here.)
Age affects the old-regime basic exemption. New regime is age-neutral.
Old-regime deductions
Only used for the old-regime column. Leave blank if you don't claim them.
New regime
FY 2026-27 default
₹97,500
Total tax payable
- Gross income
- ₹15,00,000
- Standard deduction
- − ₹75,000
- Taxable income
- ₹14,25,000
- Slab tax
- ₹93,750
- Tax after rebate
- ₹93,750
- Cess (4%)
- ₹3,750
- Total tax
- ₹97,500
Old regime
With deductions
₹1,87,200
Total tax payable
- Gross income
- ₹15,00,000
- Standard deduction
- − ₹50,000
- Other deductions
- − ₹2,25,000
- Taxable income
- ₹12,25,000
- Slab tax
- ₹1,80,000
- Tax after rebate
- ₹1,80,000
- Cess (4%)
- ₹7,200
- Total tax
- ₹1,87,200
Recommendation
New regime saves you ₹89,700
Based on the figures you entered, the new regime results in lower total tax for FY 2026-27. Salaried taxpayers can switch each year; business income taxpayers must file Form 10-IEA to opt out of the new regime.
Indicative estimate for FY 2026-27 only. Capital gains and other special-rate income are not included, and surcharge marginal relief (for total income above ₹50 lakh) is not modelled — check with your CA before relying on the figure.
Income tax slabs FY 2026-27 (AY 2027-28)
The new regime is the default and runs seven slabs with a ₹75,000 standard deduction and full 87A rebate up to ₹12 lakh of taxable income. The old regime keeps the familiar three-rate structure but lets you claim 80C, 80D, HRA, home-loan interest and other deductions. The slabs below are exactly what the calculator above applies.
| New regime (FY 2026-27) | Rate | Old regime (FY 2026-27) | Rate |
|---|---|---|---|
| Up to ₹4,00,000 | Nil | Up to ₹2,50,000 | Nil |
| ₹4,00,001 – ₹8,00,000 | 5% | ₹2,50,001 – ₹5,00,000 | 5% |
| ₹8,00,001 – ₹12,00,000 | 10% | ₹5,00,001 – ₹10,00,000 | 20% |
| ₹12,00,001 – ₹16,00,000 | 15% | Above ₹10,00,000 | 30% |
| ₹16,00,001 – ₹20,00,000 | 20% | Basic exemption ₹3L (age 60–80) / ₹5L (80+) | — |
| ₹20,00,001 – ₹24,00,000 | 25% | Standard deduction ₹50,000 | — |
| Above ₹24,00,000 | 30% | 87A rebate up to ₹5L taxable | — |
Worked example — tax on a ₹15 lakh salary (new regime, salaried): after the ₹75,000 standard deduction, taxable income is ₹14,25,000. Slab tax is ₹93,750 (no 87A rebate above ₹12 lakh); add 4% cess of ₹3,750 for a total of ₹97,500. The old regime would charge ₹2,57,400 on the same salary with no deductions — which is why the new regime usually wins unless you claim substantial deductions.
How it works
Two regimes, one comparison.
The choice of regime
Since AY 2024-25 the new regime is the default. You are taxed under it unless you actively opt out. Salaried taxpayers can pick a regime each year while filing the return — no separate form. Business and professional income taxpayers must file Form 10-IEA at the start of the financial year to opt out of the new regime, and the option to switch back is one-way after a couple of cycles.
What the calculator does
The calculator computes tax under both regimes in parallel using FY 2026-27 slabs. For the new regime, it applies the ₹75,000 standard deduction (if you flag yourself as salaried), runs the 0/5/10/15/20/25/30% slabs, applies the 87A rebate (up to ₹60,000 for taxable income at or below ₹12 lakh), surcharge in bands (capped at 25%), and the 4% cess. For the old regime, it applies the ₹50,000 standard deduction, your claimed deductions (capped at the statutory ceilings — ₹1.5L for 80C, ₹2L for 24(b), etc.), age-based basic exemption, slab tax, the ₹12,500 87A rebate up to ₹5L, surcharge, and cess.
87A rebate and the ₹12L break-point
The 87A rebate is the headline new-regime feature for FY 2026-27. If your taxable income (after standard deduction) is at or below ₹12 lakh, the rebate wipes out the entire slab tax (up to ₹60,000). Cross ₹12 lakh by even a rupee and the rebate would otherwise disappear — but marginal relief caps total tax at the amount of income exceeding ₹12 lakh, so a taxpayer at ₹12.10 lakh pays at most ₹10,000 (and not the full slab tax). This calculator applies marginal relief automatically in the phase-out band.
Surcharge bands
Surcharge is levied on the income-tax amount where total income crosses thresholds — 10% above ₹50 lakh, 15% above ₹1 crore, 25% above ₹2 crore, and 37% above ₹5 crore. Under the new regime, the 37% slab does not apply; the maximum surcharge is 25%. The 4% Health and Education Cess sits on top of (tax + surcharge) in both regimes.
What this calculator does not handle
Capital gains at special rates (10% LTCG on equity above ₹1L, 12.5% on listed equity / 20% on unlisted post Finance Act 2024), foreign income with DTAA reliefs, lottery and gaming income, AMT for LLPs, marginal relief at surcharge thresholds, and TDS or advance-tax adjustments. For tax planning across these heads, please consult a Chartered Accountant — and see our income tax guide for the conceptual map.
Frequently asked questions
Income tax calculator — common questions.
How does this income tax calculator work?
What are the new-regime tax slabs for FY 2026-27?
What is the 87A rebate under the new regime?
What are the old-regime tax slabs?
When does old regime save more than new regime?
What is the 87A rebate under the old regime?
What is the surcharge structure?
How do I switch between regimes?
What is not covered by this calculator?
Does the new regime allow any deductions?
What is the 4% cess?
Where can I read more on income tax in India?
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