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Income Tax Calculator

Calculate income tax for FY 2024-25 (AY 2025-26). Compare New vs Old tax regime with all deductions.

Income & Deductions

₹
Old Regime saves you more!

You can save ₹0 by choosing the Old Tax Regime.

Tax Summary

₹44.20 KTotal Tax
Take Home₹9.56 L
Total Tax₹44.20 K
Effective Tax Rate4.42%
Monthly Tax₹3.68 K

Tax Regime Comparison

New Regime (FY 2024-25)

₹0 - ₹3,00,0000%
₹3,00,000 - ₹7,00,0005%
₹7,00,000 - ₹10,00,00010%
₹10,00,000 - ₹12,00,00015%
₹12,00,000 - ₹15,00,00020%
₹15,00,000 - Above30%
Tax Payable₹44.20 K

Old Regime

₹0 - ₹2,50,0000%
₹2,50,000 - ₹5,00,0005%
₹5,00,000 - ₹10,00,00020%
₹10,00,000 - Above30%
Tax Payable₹44.20 K

Detailed Tax Breakdown

Income SlabRateTaxable AmountTax
₹3,00,000 - ₹7,00,0005%₹4.00 L₹20.00 K
₹7,00,000 - ₹10,00,00010%₹2.25 L₹22.50 K
Add: Health & Education Cess (4%)₹1.70 K
Total Tax Payable₹44.20 K

What is Income Tax Calculator, and How Does it Help You

Tax planning is a vital part of personal financial management. In India, taxpayers can choose between the Old Tax Regime (which allows deductions under Sections 80C, 80D, HRA, etc.) and the New Tax Regime (which offers lower slab rates but removes standard exemptions). Deciding which is better is a common challenge.

The Income Tax Calculator is a comprehensive planning tool that compares your tax liability under both regimes. It factors in your gross income, deductions, and tax rebates to help you choose the best regime.

Regime Comparison

Directly compare tax outgo under the Old Regime vs the New Regime side-by-side.

Deduction Accounting

Include contributions to 80C, 80D, NPS, and home loan interest in the calculations.

Automated Cess & Rebates

Automatically applies the 4% Health and Education Cess and rebates under Section 87A.

How Does the Income Tax Calculator Work?

The calculator applies the tax slab rates of both regimes for the current financial year to your net taxable income, adding cess and applying rebates.

Net Taxable Income = Gross Income - Exemptions - Deductions

Gross Income: Total earnings from salary, business, interest, and other sources
Deductions: Tax-saving investments (up to ₹1.5L in 80C, etc. for Old Regime)
Cess: Health and Education Cess (4% added to the calculated tax)
Rebate 87A: Rebate up to ₹25,000 (New Regime limit) or ₹12,500 (Old Regime limit)

If your gross salary is ₹12,0,000 and you have ₹2,0,000 in deductions. The Old Regime computes tax on ₹10,0,000 using progressive slabs (5%, 20%, 30%). The New Regime computes tax on the gross amount (minus the standard ₹50,000 deduction, leaving ₹11,50,000) using lower rates (5%, 10%, 15%, 20%). The calculator shows which option costs less.

How to Use Income Tax Calculator

Using the Income Tax Calculator is extremely simple and takes just a few seconds. Follow these steps:

1

Enter Gross Income

Input your total annual earnings from salary, interest, house property, and other sources.

2

Specify Deductions

Enter your tax-saving investments under 80C, medical insurance under 80D, HRA, etc.

3

Compare and Decide

View the detailed slab-wise tax breakdown and select the tax regime that minimizes your tax liability.

Advantages of Using Income Tax Calculator

✓ Identify Tax Savings

Find out which tax regime saves you more money based on your investment profile.

✓ Plan Investments Better

Determine how much more you need to invest under Section 80C to lower your tax bracket.

✓ Error-Free Tax Audits

Avoid calculation mistakes in progressive slabs, surcharge, and education cess.

✓ Informed Career Decisions

Understand how a change in CTC affects your in-hand salary post-tax.

How to Calculate Your Income Tax

Calculating income tax can be confusing due to the dual tax regimes currently active in India. Our Income Tax Calculator for FY 2024-25 simplifies this process. Simply enter your gross annual income, age group, and your eligible deductions (such as Section 80C, 80D, HRA, and Home Loan Interest). The tool automatically applies standard deductions and compares the New Regime against the Old Regime to recommend the one that saves you the most money.

Old vs New Tax Regime: Which is Better?

The New Tax Regime is the default option and offers lower tax rates but removes most major deductions (like 80C and HRA). It is generally better for individuals with minimal investments. The Old Tax Regime has higher tax rates but allows you to claim numerous exemptions. If your total deductions exceed ₹3.75 Lakhs (for an income of ₹15 Lakhs), the Old Regime might save you more tax. Our calculator breaks down both side-by-side so you can make an informed decision.

Frequently Asked Questions

New Tax Regime has lower tax rates but doesn't allow most deductions (80C, 80D, HRA, etc.). Old Tax Regime has higher rates but allows all deductions. Choose based on your total deductions - if deductions exceed ₹3-4 lakhs, Old Regime may be better.
New Regime: 0% up to ₹3L, 5% for ₹3-7L, 10% for ₹7-10L, 15% for ₹10-12L, 20% for ₹12-15L, 30% above ₹15L. Old Regime: 0% up to ₹2.5L (₹3L for seniors), 5% for ₹2.5-5L, 20% for ₹5-10L, 30% above ₹10L.
Section 87A rebate provides tax relief for lower income earners. In New Regime, no tax is payable if taxable income is up to ₹7 lakhs (rebate up to ₹25,000). In Old Regime, no tax if income is up to ₹5 lakhs (rebate up to ₹12,500).
Section 80C allows deduction up to ₹1.5 lakhs per year for investments like PPF, ELSS, life insurance premium, EPF, NSC, tax-saving FDs, home loan principal, children's tuition fees, etc. Only available under Old Tax Regime.
Section 80D allows deduction for health insurance premiums. For self and family: up to ₹25,000 (₹50,000 for senior citizens). For parents: additional ₹25,000 (₹50,000 if senior). Maximum total: ₹1 lakh if all are seniors.
Salaried employees can switch between regimes every financial year by informing their employer. Business/professional income taxpayers can switch only once in their lifetime. New Regime is default - you need to specifically opt out.
Standard Deduction is a flat deduction from salary income without any proof. For FY 2024-25, it's ₹75,000 under both New and Old regimes. This deduction is automatic and doesn't require any investment.
Health and Education Cess is 4% of the total income tax (after rebate). It's mandatory and funds health and education initiatives. For example, if tax is ₹50,000, cess would be ₹2,000 (4% of ₹50,000).
Under Old Regime: Principal repayment up to ₹1.5L under 80C, Interest up to ₹2L under Section 24(b) for self-occupied property. For under-construction property, pre-construction interest is deductible in 5 equal installments after possession.
HRA exemption is minimum of: 1) Actual HRA received, 2) 50% of (Basic+DA) for metro cities or 40% for others, 3) Rent paid minus 10% of (Basic+DA). This is available only under Old Tax Regime.
Senior citizens (60-80 years) have higher basic exemption limit of ₹3 lakhs under Old Regime. Super senior citizens (80+ years) have ₹5 lakhs exemption and no 5% slab. New Regime slabs are same for all ages.
For individuals with no audit requirement, ITR due date is July 31st of the assessment year. For example, for FY 2024-25 (AY 2025-26), the due date is July 31, 2025. Late filing attracts penalty and interest.