Old vs New Tax Regime — Quick Comparison

Salary-based quick comparator for FY 2026-27 (AY 2027-28) · Income-tax Act, 2025 (s.202, new regime default) read with corresponding Income-tax Act, 1961 provisions (s.115BAC). For a full head-wise ITR-style computation including capital gains, business income and house property, use the Advanced Income Tax Calculator.

Your Details

Gross Salary (₹ p.a.)CTC minus employer's PF/NPS contribution

Age Group

Basic + DA (₹ p.a.)For HRA exemption — leave 0 if not claiming HRA

City Type

Rent Paid (₹ p.a.)

HRA Received (₹ p.a.)

Section 80C (₹, max 1,50,000)PPF, ELSS, LIC, EPF, principal on home loan

Section 80D — Health Insurance (₹)

NPS — Self, 80CCD(1B) (₹, max 50,000)

Home Loan Interest — Self-Occupied, s.24(b) (₹, max 2,00,000)

Instant Winner

New Regime (Default) — s.202 IT Act 2025

u/s 115BAC, IT Act 1961

Old Regime

Opt-in via Form 10-IEA (non-salary income)

About This Tool

The Old vs New Tax Regime Calculator computes your income tax liability under both the old regime (with deductions like 80C, 80D, HRA, home loan interest) and the new regime (Section 115BAC with lower slab rates but no most deductions) and tells you which regime saves more tax. From FY 2023-24, the new regime is the default for all taxpayers. This comparison is especially useful for salaried employees who must inform their employer before the start of the financial year.

How to Use

Enter your gross annual income (salary/business/other sources).
Under Old Regime: enter all eligible deductions — 80C, 80D, HRA, home loan interest, professional tax, standard deduction.
Under New Regime: only standard deduction of ₹75,000 (salaried) and Section 80CCD(2) employer NPS contribution apply.
Click Calculate — the tool shows tax payable under both regimes including cess, rebate under 87A, and the net savings from choosing the better regime.

Frequently Asked Questions

Which regime is better for me?

Generally, if your deductions (80C + 80D + HRA + home loan etc.) exceed about ₹3.75 lakh, the old regime tends to be better. Below that, the new regime saves tax. Use this calculator for your specific case.

Can I switch regime every year?

Salaried individuals can switch between old and new regime every year. However, individuals with business income who opted out of the new regime cannot switch back easily.

What is the standard deduction in the new regime?

₹75,000 standard deduction is available for salaried employees in the new regime from FY 2024-25.

What deductions are still allowed in the new regime?

Section 80CCD(2) employer's NPS contribution, Section 80JJAA for additional employees, and a few other specific deductions are available. Most common deductions like 80C, 80D, HRA are not allowed.