Free Indian salary tax planning tool

Income Tax Calculator India FY 2025-26 / AY 2026-27

Estimate Indian income tax online, compare old and new tax regimes, calculate salary TDS, understand IT Advice style taxable income, check ₹75,000 standard deduction, Section 87A rebate, cess, monthly tax and what-if scenarios in one place.

Old vs new regimeFY 2025-26 / AY 2026-27Salary TDS estimateIT Advice mode₹75,000 standard deductionSection 87A rebateCSV exportNo signup
New regime highlight: For eligible salaried taxpayers, income up to ₹12.75 lakh can result in zero tax because ₹75,000 standard deduction reduces taxable income to ₹12 lakh, where Section 87A rebate can apply. This tool shows that calculation clearly.

New regime rebate and ₹75,000 standard deduction explained

For eligible salaried taxpayers, gross salary of ₹12,75,000 can become taxable income of ₹12,00,000 after the ₹75,000 standard deduction. Section 87A rebate can then make tax zero.

Income details

Use Simple mode for quick tax estimate. Use Salary / IT Advice mode when you have employer TDS projection, payroll IT advice or Form 16-style values.

Planning mode uses the same slab assumptions currently built into this calculator. Update when new official rules change.

Input mode
₹12,75,000

Enter gross salary before tax. Standard deduction is automatically applied.

₹0

Optional: interest income, rental income, freelance income, taxable reimbursements, etc.

Tip: If your employer or another calculator asks for taxable income directly, remember this tool starts from gross income and applies standard deduction automatically.
Why results can differ from Income Tax portal or employer IT advice?

Some calculators ask for taxable income directly, while this tool can start from gross income and apply standard deduction, employer contribution deduction and other inputs.

Employer advice may also include perquisites, taxable reimbursements, employer contribution, rounded taxable income, special-rate income or manually adjusted TDS.

Old regime deductions

Keep simple defaults or open advanced fields to customize.

Simple mode assumes common old-regime deductions: 80C ₹1,50,000 and 80D ₹25,000.

Switch to Advanced if you want to add HRA, home loan interest, NPS, or other deductions.

What-if settings

₹1,00,000

Used in what-if analysis.

₹50,000

Used to test whether old regime can become better.

Recommended option · FY 2025-26 / AY 2026-27

New Tax Regime

Estimated annual tax is ₹0. Compared with the other regime, estimated saving is ₹1,32,600.

Why this tax result?

Your new-regime tax is zero because Section 87A rebate offsets the slab tax after standard deduction.

Standard deduction

₹75,000

New taxable income

₹12,00,000

Section 87A rebate

₹60,000

Annual tax

₹0

Estimated tax including cess.

Monthly tax

₹0

Approximate monthly tax outgo.

Taxable income

₹12,00,000

After standard deduction and eligible deductions.

Effective tax rate

0.00%

Total tax as percentage of gross income.

New regime estimate

Total tax₹0
Taxable income₹12,00,000
Base slab tax₹60,000
Rebate₹60,000
Monthly tax₹0

Old regime estimate

Total tax₹1,32,600
Taxable income₹10,50,000
Base slab tax₹1,27,500
Old deductions₹1,75,000
Monthly tax₹11,050

Regime comparison

Tax breakup

No tax breakup to show because estimated tax is zero.

Tax saving and planning suggestions

New regime currently looks better

Your estimated tax is lower under the new regime based on the current income and deduction inputs. This is common when old-regime deductions are limited.

High

₹1,32,600 estimated saving vs old regime

Section 87A rebate is reducing new-regime tax to zero

Your taxable income is within the new-regime rebate limit, so the rebate offsets the slab tax. For salaried users, ₹75,000 standard deduction is a key reason this can happen.

High

₹60,000 rebate applied

Use Salary / IT Advice mode for a closer TDS estimate

Employer salary advice often includes perquisites, employer NPS/DCPS contribution, taxable reimbursements and employer contribution deductions. Add them for a closer match.

Medium

Improves salary TDS estimate accuracy

Review health insurance deduction under 80D

Medical insurance premium for self/family and parents can improve old-regime deductions where applicable.

Medium

₹75,000 remaining 80D field capacity

Consider additional NPS deduction if old regime is relevant

Employee NPS contribution under 80CCD(1B) can be useful when you are close to making the old regime better.

Medium

₹50,000 possible NPS field capacity

Add HRA exemption if you pay rent

If you receive HRA and pay rent, enter your calculated HRA exemption in Advanced mode to compare the old regime more accurately.

Medium

Can significantly improve old-regime result

What-if analysis

ScenarioNew taxOld taxBestExtra tax
Current income₹0₹1,32,600New₹0
Income + ₹1,00,000₹78,000₹1,63,800New₹78,000
Income + ₹2,00,000₹93,600₹1,95,000New₹93,600
Old regime + ₹50,000 deduction₹0₹1,17,000New₹0
New regime zero-tax salary check₹0₹1,32,600New₹0

Slab-wise tax calculation

Showing slab breakdown for the recommended regime.

SlabTaxable amountRateTax
₹0 - ₹4,00,000₹4,00,0000.00%₹0
₹4,00,000 - ₹8,00,000₹4,00,0005.00%₹20,000
₹8,00,000 - ₹12,00,000₹4,00,00010.00%₹40,000
Base slab tax₹60,000
Less: Section 87A rebate₹60,000
Tax after rebate₹0
Surcharge₹0
Health and education cess₹0
Total tax₹0

Important note

This calculator is for planning and educational use. It does not file your ITR and does not replace Form 16, AIS/TIS, official tax portal calculations, employer payroll records or professional tax advice. Special-rate income such as capital gains may affect rebate and final tax treatment.

How to use Income Tax Calculator India

1. Select the financial year

Start with FY 2025-26 / AY 2026-27. You can also use FY 2026-27 planning mode for projected salary planning if your employer has already issued projected salary or IT advice.

2. Enter annual gross salary or income

Enter annual salary or gross income before tax. The calculator applies standard deduction automatically and then calculates taxable income, old regime tax, new regime tax, monthly tax and effective tax rate.

3. Use IT Advice mode for employer salary projection

If you have employer IT advice, salary TDS projection or Form 16-style values, open Salary / IT Advice mode. Enter gross income, perquisites, employer PF/NPS/DCPS contribution, other income and eligible employer contribution deduction to match payroll-style taxable income more closely.

4. Add other taxable income if applicable

Add interest income, rental income, freelance income, reimbursement taxable income or any other income that should be included in your tax estimate.

5. Choose simple or advanced old-regime deductions

In simple mode, the calculator uses common old-regime deduction assumptions. Switch to advanced mode when you want a more detailed old-regime comparison.

  • Section 80C: PF, PPF, ELSS, life insurance, tuition fee and similar deductions.
  • Section 80D: health insurance deduction.
  • HRA exemption: add your calculated HRA exemption if applicable.
  • Home loan interest: add eligible home loan interest deduction.
  • NPS: add eligible employee NPS deduction.
  • Other deductions: add any other eligible old-regime deduction for comparison.

6. Check Section 87A rebate and zero-tax explanation

Under the updated new regime, eligible regular income up to the rebate threshold can result in zero tax. For salaried users, ₹75,000 standard deduction can make ₹12.75 lakh gross salary become ₹12 lakh taxable income. The calculator shows rebate, tax after rebate and cess separately.

7. Compare old and new tax regime

The calculator automatically shows estimated tax under both regimes and highlights the recommended option based on lower estimated tax.

8. Use what-if analysis and export CSV

Use salary increase and extra deduction scenarios to estimate future tax impact. Click Export CSV to save your tax comparison, IT advice summary and what-if analysis.

Salary TDS and IT Advice calculator

Use Salary / IT Advice mode to enter employer salary projection values such as gross income, perquisites, employer contribution, other income and eligible employer contribution deduction.

Old vs new regime comparison

Compare estimated tax under the old and new tax regimes and see which option gives lower estimated annual tax based on your income and deductions.

Section 87A rebate explanation

Understand why tax may be zero under the new regime when taxable income is within the eligible rebate limit, and why tax starts once income crosses the threshold.

Income tax calculator India: FY 2025-26 salary guide

This calculator is designed for Indian individual taxpayers who want a quick estimate for FY 2025-26 / AY 2026-27. It is especially useful for salaried users because it applies standard deduction automatically and clearly shows taxable income.

The new tax regime is simpler for many users. The old tax regime may still be useful when you have eligible deductions such as Section 80C, Section 80D, HRA, home loan interest, NPS or other deductions.

Salary slips and employer IT advice can include values such as perquisites, employer NPS/DCPS contribution, taxable reimbursements and rounded taxable income. Salary / IT Advice mode is included to make this tool more useful for those cases.

Use this tool for planning only. Final tax filing should be verified with Form 16, AIS/TIS, income tax portal data, employer TDS records or a qualified tax professional.

Best use cases

  • Compare old vs new tax regime before choosing a regime.
  • Estimate monthly salary TDS from annual income.
  • Match employer IT advice or salary projection values.
  • Check effect of Section 87A rebate and standard deduction.
  • Check effect of Section 80C, 80D, HRA, NPS and deductions.
  • Run salary hike and extra deduction what-if scenarios.
  • Export tax comparison as CSV for later review.
  • Understand taxable income, cess, rebate and slab-wise tax.

Tax calculation tips

  • Enter gross salary, not only taxable income.
  • Use Salary / IT Advice mode when you have employer projection values.
  • Use advanced mode for a better old-regime comparison.
  • Add other taxable income for a more realistic estimate.
  • Remember that special-rate income may affect rebate treatment.
  • Compare monthly tax as well as annual tax.
  • Use CSV export if you want to save the comparison.
  • Verify final numbers before filing your return.

Frequently asked questions

Which tax regime is better for FY 2025-26?

The better regime depends on income and deductions. The new regime is simpler and often better when deductions are limited. The old regime may be better when deductions such as 80C, 80D, HRA, home loan interest or NPS are high.

Why is tax zero up to ₹12.75 lakh salary under the new regime?

For salaried taxpayers, the new regime allows standard deduction of ₹75,000. If gross salary is ₹12.75 lakh and standard deduction is ₹75,000, taxable income becomes ₹12 lakh. Section 87A rebate can reduce tax to zero for eligible regular income up to the rebate limit.

What is IT Advice mode in this calculator?

IT Advice mode is useful when you have employer salary projection, TDS advice, Form 16 style details or payroll tax advice. It lets you enter gross income, perquisites, employer contribution, other income and employer contribution deduction to match salary tax projection more closely.

Why does this calculator differ from the Income Tax Department calculator?

This calculator can work from gross salary and then apply standard deduction and deductions automatically. Some official or employer calculators may ask for taxable income directly or include perquisites, employer contribution, special rate income or rounded taxable income differently.

Is standard deduction included in this income tax calculator?

Yes. This calculator automatically applies standard deduction and shows it in the result summary. For the updated new regime calculation, ₹75,000 standard deduction is used for salaried taxpayers.

Can I compare old and new tax regime?

Yes. The calculator estimates tax under both old and new regimes and recommends the lower-tax option based on your inputs.

Can I add 80C, 80D, HRA and NPS deductions?

Yes. Switch to advanced old-regime deductions to add Section 80C, Section 80D, HRA exemption, home loan interest, NPS and other deductions.

Does this calculator handle employer NPS or DCPS contribution?

Yes. In IT Advice mode, you can enter employer PF, NPS or DCPS contribution and the eligible employer contribution deduction separately for a closer salary TDS estimate.

Does this calculator file my ITR?

No. This tool only estimates income tax for planning. It does not file returns or replace official tax filing, Form 16, AIS/TIS review or professional tax advice.

Can I export the tax calculation?

Yes. You can export the tax comparison, IT advice style summary and what-if analysis as a CSV file.

Is this income tax calculator free?

Yes. SmartTools Income Tax Calculator India is free to use online.

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