Old vs New Tax Regime Calculator

Compare both tax regimes and find which is better for you.

Personal informationAge affects the exemption limit in the old regime
Age group

Different DA and NPS contribution rules apply.

Salary structureAs per your salary slip
Basic salary *
Dearness Allowance (DA)

Mainly for government employees (tick the box above to enter).

House Rent Allowance (HRA)

Exemption applies only in the old regime.

Leave Travel Allowance (LTA)

Exemption applies only in the old regime.

Other allowances

Special allowance, transport allowance, etc.

Professional tax

Levied by some state governments.

HRA, LTA and NPSExemptions available in the old regime
Do you live in Delhi, Mumbai, Kolkata or Chennai?

HRA exemption is 50% of basic in these metros, 40% elsewhere.

Rent paid

Needed for the HRA exemption.

Travel within India (up to the LTA received).

Max 10% of basic (14% for government employees). Allowed in both regimes.

Additional deduction, max ₹50,000.

Section 80C and other deductionsAnnual amounts, old regime only

EPF, PPF, ELSS, LIC, etc. (max ₹1,50,000)

Self & family ₹25,000; senior citizens ₹50,000

Self-occupied property: max ₹2,00,000

First-time home buyers (max ₹1,50,000)

Interest on EV loan (max ₹1,50,000)

No upper limit

Donations to approved charities and funds

80TTA ₹10,000; 80TTB for seniors ₹50,000

Enter your basic salary to see which regime saves more.

Tax Regime Comparison

Key Differences Between Regimes

  • Tax Slabs: New regime has more slabs (7 vs 4) with more gradual rate increases
  • Age-based Differentiation: Old regime had different exemption limits for seniors, new regime is uniform
  • Deductions: Old regime offers many more deduction options (9 vs 4)
  • Standard Deduction: Increased from ₹50,000 to ₹75,000 in new regime

Tax slabs

Old Tax Regime

Income rangeRateApplies to
0 - 2.5 lakh0%All individuals below 60 years
2.5 lakh - 5 lakh5%All individuals below 60 years
5 lakh - 10 lakh20%All individuals
Above 10 lakh30%All individuals
0 - 3 lakh0%Senior citizens (60-79 years)
0 - 5 lakh0%Super senior citizens (80+ years)

New Tax Regime

Income rangeRateApplies to
0 - 4 lakh0%All individuals
4 lakh - 8 lakh5%All individuals
8 lakh - 12 lakh10%All individuals
12 lakh - 16 lakh15%All individuals
16 lakh - 20 lakh20%All individuals
20 lakh - 24 lakh25%All individuals
Above 24 lakh30%All individuals

Deductions and exemptions

Old Tax Regime

  • Section 80C

    Limit: 1.5 lakh. Minimum of actual investment or 1.5 lakh. For: All individuals.

  • Section 80D

    Limit: Varies based on age and premium amount. See specific age-based limits. For: All individuals.

  • Standard Deduction

    Limit: 50,000. Fixed amount. For: Salaried individuals.

  • HRA

    Limit: Actual HRA received minus exemption. See HRA exemption rules. For: Salaried individuals.

  • LTA

    Limit: Actual LTA received. See LTA exemption rules. For: Salaried individuals.

  • Interest on Housing Loan (Section 24)

    Limit: 2 lakh. Actual interest paid up to 2 lakh. For: All individuals.

  • Section 80E

    Limit: No specific limit. Entire interest paid. For: All individuals.

  • Section 80G

    Limit: Varies based on donation amount. See specific donation limits. For: All individuals.

  • Section 80TTA/80TTB

    Limit: 10,000 (50,000 for senior citizens). Actual interest up to limit. For: All individuals.

New Tax Regime

  • Standard Deduction

    Limit: 75,000. Fixed amount. For: Salaried individuals.

  • Section 80CCD(2)

    Limit: 14% of salary for government employees, 10% for others. Actual contribution up to limit. For: All individuals.

  • Interest on Housing Loan (for let-out property)

    Limit: Actual interest paid. See rental income rules. For: All individuals.

  • Family Pension Income Deduction

    Limit: 25,000. Lower of 1/3rd of actual pension or 25,000. For: Family pensioners.

About the Old vs New Tax Regime Calculator

The new tax regime has lower slab rates and a ₹75,000 standard deduction but drops most deductions. The old regime has higher rates but allows HRA, Section 80C, 80D, home loan interest and more. Enter your salary and deductions to see which leaves you more take-home pay.

How it is calculated

  • Old regime: gross salary − exemptions (HRA, LTA) − ₹50,000 standard deduction − deductions (80C, 80D, 24(b), 80CCD(1B) and others) = taxable income.
  • New regime: gross salary − ₹75,000 standard deduction − employer NPS contribution = taxable income.
  • Tax is worked out slab by slab, the Section 87A rebate is applied where eligible, and 4% health and education cess is added.

Rules and assumptions

  • Salaried employees can choose either regime each year when filing their return.
  • This calculator applies the Tax Year 2026-27 slab rates, which Budget 2026 left unchanged: new-regime taxable income up to ₹12 lakh pays no tax after the rebate.
  • Tax is worked out with the same tested engine as the Income Tax Calculator, including the rebate with marginal relief, surcharge above ₹50 lakh and 4% cess.

Frequently asked questions

Which tax regime is better for me?

If your deductions (80C, 80D, HRA, home loan interest and so on) are large, the old regime can win. With few deductions, the new regime usually costs less. The calculator compares both for your numbers.

Can I switch between the old and new regime?

Salaried employees without business income can choose either regime every year when filing their return.

Is HRA allowed in the new tax regime?

No. HRA exemption, Section 80C and most other deductions are not allowed in the new regime. Employer NPS contribution under Section 80CCD(2) is still allowed.

What is the standard deduction in each regime?

₹75,000 in the new regime and ₹50,000 in the old regime, for salaried employees and pensioners.