Rates used
| New regime (default) | Rate | Old regime | Rate |
|---|---|---|---|
| Up to Rs 4,00,000 | Nil | Up to Rs 2,50,000 (Rs 3,00,000 at 60+, Rs 5,00,000 at 80+) | Nil |
| Rs 4,00,001 to 8,00,000 | 5% | Up to Rs 5,00,000 | 5% |
| Rs 8,00,001 to 12,00,000 | 10% | Rs 5,00,001 to 10,00,000 | 20% |
| Rs 12,00,001 to 16,00,000 | 15% | Above Rs 10,00,000 | 30% |
| Rs 16,00,001 to 20,00,000 | 20% | ||
| Rs 20,00,001 to 24,00,000 | 25% | ||
| Above Rs 24,00,000 | 30% |
- Standard deduction on salary: Rs 75,000 (new) and Rs 50,000 (old).
- Rebate for resident individuals: up to Rs 60,000 where total income is up to Rs 12 lakh (new), with marginal relief just above; up to Rs 12,500 where total income is up to Rs 5 lakh (old).
- Surcharge: 10% above Rs 50 lakh, 15% above Rs 1 crore, 25% above Rs 2 crore, and 37% above Rs 5 crore in the old regime only; capped at 15% on capital gains taxed at special rates; marginal relief applied.
- Health and education cess: 4% of tax and surcharge. Total income and tax are rounded to the nearest Rs 10.
Not covered: carried forward losses, set-off rules beyond house property, alternate minimum tax, special rates for non-residents under a tax treaty, and the conditions attached to each deduction. For a return computation, see income tax return filing, or the quick income tax calculator.
Frequently asked questions
Which regime applies if I do not choose one?
The new regime is the default for individuals and HUFs. Salaried taxpayers and pensioners without business income can choose the old regime each year when filing the return. Those with business income can switch back to the old regime only once, so compare both regimes carefully before choosing.
Why is my tax nil under the new regime up to Rs 12 lakh?
Resident individuals get a rebate of up to Rs 60,000 when total income does not exceed Rs 12 lakh, which cancels the slab tax. Salaried people also get a standard deduction of Rs 75,000, so salary up to Rs 12.75 lakh can be tax free. The rebate does not cover capital gains taxed at special rates.
How are capital gains on shares taxed in this calculator?
Short-term gains on listed equity shares and equity funds are taxed at 20 percent. Long-term gains on them are taxed at 12.5 percent after an annual exemption of Rs 1.25 lakh. Other long-term gains are taxed at 12.5 percent, or at 20 percent with indexation where that option applies to older property.
Is the result the same as the tax in my return?
The calculator follows the rates and main rules for the year, but the return also depends on details such as carried forward losses, exact deduction conditions and the AIS data reported for you. Treat the result as an estimate and check the computation in the income tax return before filing.