Old vs New Tax Regime Calculator
Compare both tax regimes and find which one saves you more money with latest FY 2025-26 rates and deductions
Income Tax Benefit Calculator
FY 2025-26Compare Old vs New Tax Regime and find which saves you more tax with latest FY 2025-26 rates
New Tax Regime is Default from FY 2025-26
Salaried employees can switch between regimes annually. Business owners can switch only once.
Deductions & Exemptions (Old Regime Only)
💡 Standard Deduction of ₹50,000 (Old Regime) and ₹75,000 (New Regime) is automatically applied
💰 Recommendation
Old Regime
New Regime
Default💸 Your Tax Savings
₹0
Tax Slab Comparison
Old Regime Slabs
✓ Standard Deduction: ₹50,000
✓ All deductions allowed: 80C, 80D, HRA, Home Loan, etc.
✓ Rebate: Up to ₹12,500 if income ≤ ₹5L
New Regime Slabs (Default)
✓ Standard Deduction: ₹75,000
✗ Limited deductions: Only 80CCD(2)
✓ Rebate: Up to ₹60,000 if income ≤ ₹12L
🎯 Zero tax up to ₹12 lakh!
Popular Tax-Saving Deductions (Old Regime)
Section 80C
Max: ₹1,50,000
- • PPF, EPF, VPF
- • ELSS Mutual Funds
- • Life Insurance Premium
- • Home Loan Principal
- • Children's Tuition Fees
Section 80D
Max: ₹25K/₹50K
- • Health Insurance Premium
- • Self & Family: ₹25,000
- • Parents: ₹25,000
- • Senior Citizens: ₹50,000
Section 80CCD(1B)
Max: ₹50,000
- • National Pension System
- • Additional to 80C
- • Total saving: ₹2 lakh
HRA Exemption
Variable
- • House Rent Allowance
- • Based on rent paid
- • Only for salaried
- • Not in new regime
Section 24(b)
Max: ₹2,00,000
- • Home Loan Interest
- • Self-occupied property
- • Principal in 80C
Section 80E
No Limit
- • Education Loan Interest
- • For 8 years
- • Higher education only
Frequently Asked Questions
Which tax regime is default for FY 2025-26?
The New Tax Regime is the default from FY 2025-26. However, you can opt for the Old Regime by filing Form 10-IEA. Salaried employees can switch between regimes every year, while business owners can switch only once.
What is the zero-tax income limit in new regime?
With the enhanced rebate of ₹60,000 under Section 87A, income up to ₹12 lakh is effectively zero-tax in the new regime for FY 2025-26. This is after claiming standard deduction of ₹75,000.
Can I claim HRA in new tax regime?
No, HRA exemption is not available under the new tax regime. Other major exemptions like LTA (Leave Travel Allowance) and Section 80C to 80U deductions (except 80CCD(2)) are also not available in the new regime.
Which regime is better for high deductions?
If you have high deductions (80C, 80D, HRA, home loan interest) totaling more than ₹2-3 lakh, the Old Regime typically works out better. For those with limited deductions or income between ₹7-15 lakh, the New Regime often results in lower tax due to favorable slab rates.
What is standard deduction in both regimes?
Standard deduction for salaried individuals is ₹50,000 in Old Regime and ₹75,000 in New Regime for FY 2025-26. This is automatically deducted from your gross income before calculating tax.