Income Tax Calculator

Both FY 2025-26 (the return you file in 2026) and FY 2026-27 (the year running from 1 April 2026). The Budget for FY 2026-27 left the new regime slabs, the Section 87A rebate and the standard deduction exactly where Budget 2025 put them, so one set of slabs serves both years. The rates and rules on this page were checked in September 2026.

One thing did change on 1 April 2026: the Income-tax Act, 2025 replaced the 1961 Act. It uses the term tax year in place of the old pair of previous year and assessment year, so FY 2026-27 is simply tax year 2026-27 under the new law. The slab structure, the rebate and the two standard deductions carried over unchanged.

The calculator assumes a resident individual below 60 with salary and, optionally, other income taxed at slab rates. It does not compute surcharge on income above ₹50 lakh, capital gains taxed at special rates, or the higher basic exemption that senior citizens get under the old regime.

Under the new regime, Section 87A wipes out the tax when taxable income (gross salary minus the ₹75,000 standard deduction, plus any other income) is ₹12,00,000 or less. The tax on exactly ₹12 lakh works out to ₹60,000, which is why the rebate is capped at that figure. A salaried person with no other income therefore pays nothing up to a gross salary of ₹12,75,000.

Without a safety valve, earning one rupee over the limit would trigger the full ₹60,000 of tax. Marginal relief prevents that: just above ₹12 lakh, the tax payable cannot exceed the amount by which income exceeds ₹12 lakh. The relief tapers off at about ₹12,70,588 of taxable income, where the normal slab tax and the excess income become equal.

Gross total income is everything you earned in the year across the five heads: salary, house property, business or profession, capital gains and other sources such as interest. Taxable income (the law calls it total income) is what is left after the standard deduction and, in the old regime, the Chapter VI-A deductions. The slab rates apply to this figure. Tax payable is the slab tax minus any Section 87A rebate, plus surcharge where applicable, plus 4% cess. What you actually hand over at filing time is tax payable minus the TDS and advance tax already paid, and if that is negative you get a refund.

The effective tax rate shown by the calculator is total tax divided by gross income. It is always lower than your top slab rate because the lower slabs are taxed at lower rates, and it is the more honest number when you compare job offers or plan a raise.

An employer deducts tax at source on salary every month under section 192, using the regime you declare at the start of the year. The new regime is the default, so tell your payroll team if you want the old one, and ask for Form 16 in June to check the figures. You can still pick the other regime when you file the return, as long as you have no business income.

Advance tax applies when your tax after TDS exceeds ₹10,000 in a year, which usually happens only when you have sizeable interest, rent or capital gains. It is paid in four instalments: 15% by 15 June, 45% by 15 September, 75% by 15 December and 100% by 15 March. Shortfalls attract interest under sections 234B and 234C. Before filing, reconcile your TDS with Form 26AS and the Annual Information Statement. The return for individuals who do not need an audit is normally due on 31 July of the following year, though the CBDT sometimes extends the date by notification.