Income Tax Calculator

Compare tax liability under Old and New regime for FY 2024-25

Income Details

Old Regime Deductions

Max ₹25,000 (₹50,000 for senior citizens)
Standard Deduction of ₹50,000 applied automatically under Old Regime.

Enter income details and click Calculate

Details Old Regime New Regime
Gross Income
Total Deductions
Taxable Income
Base Tax
Surcharge
Health & Education Cess (4%)
Total Tax Payable
Monthly TDS

Tax Savings with Better Regime

How to Use

  1. Enter your Annual Gross Income (salary, business income, etc.).
  2. Select your Age Group — senior citizens and super seniors have different basic exemption limits.
  3. Under the Old Regime section, enter deductions you are eligible for: 80C (PPF, ELSS, LIC, etc.), 80D (health insurance), HRA, home loan interest, and others.
  4. Click Calculate Tax to see a side-by-side comparison of tax payable under both regimes.
  5. The regime with lower tax is highlighted — choose accordingly when filing your ITR.

Old Regime vs New Regime — Key Differences

FeatureOld RegimeNew Regime (2024-25)
Standard Deduction₹50,000₹75,000
Section 80CUp to ₹1.5 lakhNot available
Section 80DUp to ₹25,000 / ₹50,000Not available
HRA ExemptionAvailableNot available
Rebate u/s 87AUp to ₹5L income (₹12,500)Up to ₹7L income (full rebate)
Tax ratesHigher rates, fewer slabsLower rates, more slabs

New Regime Tax Slabs (FY 2024-25)

Taxable IncomeTax Rate
Up to ₹3 lakhNil
₹3L – ₹7L5%
₹7L – ₹10L10%
₹10L – ₹12L15%
₹12L – ₹15L20%
Above ₹15L30%

Who Should Choose Which Regime?

  • Old Regime is better if you have high deductions: HRA + 80C + 80D totalling ₹3L+ typically favours old regime for incomes above ₹10L.
  • New Regime is better for salaried employees with few deductions, especially those earning up to ₹7.75L (effectively zero tax after standard deduction + 87A rebate).
  • Run the calculator every year — the optimal choice can change with salary hikes and life changes (home loan, insurance, etc.).

Important: Cess and Surcharge

A 4% Health & Education Cess is levied on the total tax amount in both regimes. Additionally, surcharge applies if income exceeds ₹50 lakh (10%), ₹1 crore (15%), ₹2 crore (25%), or ₹5 crore (37%).

Frequently Asked Questions

It depends on your deductions. The New Regime is better if your total deductions (80C + 80D + HRA + home loan interest, etc.) are low — typically for those with income under ₹10L with few investments. The Old Regime is better if you have high deductions totalling ₹3L+. For most salaried employees with a home loan + 80C investments + HRA, the Old Regime often wins above ₹12L income. Run this calculator annually — the optimal choice changes with salary hikes and life events.

Section 87A is a tax rebate that reduces your tax liability to zero if your taxable income is within the threshold. Under the Old Regime: rebate up to ₹12,500 if taxable income ≤ ₹5L. Under the New Regime (FY 2024-25): full tax rebate if taxable income ≤ ₹7L — effectively zero tax. Note: taxable income, not gross income. A person earning ₹7.75L gross with ₹75K standard deduction has ₹7L taxable income → zero tax under New Regime.

Yes, for salaried employees and pensioners — you can switch regime every year when filing your ITR. For business income earners, once you opt out of the New Regime, you can only switch back once in a lifetime. Salaried employees should inform their employer at the start of the financial year; TDS will be deducted accordingly.

Yes — surcharge applies equally in both regimes. The rates are: 10% for income ₹50L–₹1Cr, 15% for ₹1Cr–₹2Cr, 25% for ₹2Cr–₹5Cr, 37% for above ₹5Cr. However, the maximum surcharge on capital gains (LTCG on equity) is capped at 15%. A 4% Health & Education Cess applies on tax + surcharge in both regimes.