Finance
Old vs New Tax Regime Calculator India
Compare tax under both regimes on FY 2025-26 slabs, and see how many deductions the old one needs to win.
Interactive tool
Old vs New Tax Regime Calculator India
New regime tax
₹0
Old regime tax
₹1,17,000
Better: new regime
saves ₹1,17,000
Choice IQ readout
The new regime is cheaper here by ₹1,17,000. You would need roughly ₹11,50,000 of deductions before the old regime catches up, which is more than most salaried people can claim.
- Figures use FY 2025-26 slabs and include the 4% health and education cess. Surcharge on very high incomes is not modelled.
- The new regime is the default. You must actively choose the old one, and salaried filers can switch each year.
- Count only deductions you will genuinely claim, with proof. Aspirational 80C investments are the usual reason this comparison misleads.
Tool guide
How to use this old vs new tax regime calculator india
The new tax regime is the default, and for most salaried people it is now cheaper. The old regime only wins if your deductions are large enough, and the threshold is higher than people assume. This calculator applies FY 2025-26 slabs to both, includes the standard deduction and the 87A rebate, and tells you how much deduction the old regime would need to break even.
Formula
New regime: slabs from Rs 4 lakh, after a Rs 75,000 standard deduction, with full rebate up to Rs 12 lakh taxable. Old regime: slabs from Rs 2.5 lakh, after a Rs 50,000 standard deduction plus your deductions. Both include 4% cess.
Decision guide
When to use this old vs new tax regime calculator india
Best use case
Use this page when you need a quick first estimate before comparing products, lenders, subscriptions, or buying options. It is built for practical planning, not final professional advice.
Inputs needed
Keep these numbers ready: Annual taxable income, Deductions you can claim. If you are unsure, run one conservative estimate and one optimistic estimate.
Shareable result
After calculating, use the result link to save or share the same inputs. The URL parameters keep the calculation easy to revisit.
Common examples
Readers usually use this tool for choosing a regime at the start of the year, checking whether 80c investments still pay, comparing after a salary rise. The best way to read the output is to compare scenarios instead of treating one result as a final answer.
How it works
The new tax regime is the default, and for most salaried people it is now cheaper. The old regime only wins if your deductions are large enough, and the threshold is higher than people assume. This calculator applies FY 2025-26 slabs to both, includes the standard deduction and the 87A rebate, and tells you how much deduction the old regime would need to break even.
Examples
- Choosing a regime at the start of the year
- Checking whether 80C investments still pay
- Comparing after a salary rise
FAQ
Which tax regime is better for me?
It depends entirely on your deductions. With few deductions the new regime almost always wins because of its wider slabs and larger standard deduction. The old regime needs a substantial 80C, 80D, HRA and home loan interest claim before it catches up.
Can I switch between regimes?
Salaried taxpayers can choose afresh each financial year when filing. Those with business or professional income get far less flexibility and can generally switch back only once.
Does this include surcharge?
No. It applies the slabs and the 4% health and education cess. Surcharge applies on incomes above Rs 50 lakh and is not modelled here, so treat very high income results as indicative.
Keep reading
Related finance picks
Comparison
Old vs New Tax Regime: Which Should You Pick in India?
The answer depends almost entirely on how much you actually claim in deductions, not on which regime sounds better.
Tool
Tax Estimator
Estimate taxable income and compare basic old-regime versus new-regime planning inputs.
Finance
Best Demat Accounts in India: What to Compare
Compare demat and brokerage accounts in India by charges, app reliability, research tools, long-term investing, trading needs, and support.
Comparison
PPF vs ELSS: Which 80C Investment Should You Choose?
Both save tax under 80C. One is guaranteed and locked for fifteen years, the other is market-linked with a three-year lock-in.
Tool
EPF Calculator India
Project your EPF corpus at 58, using the share of contributions that actually accumulates.