Income Tax Calculator 2026 India

Calculate your income tax for FY 2026-27 using our free income tax calculator. Compare old vs new tax regime and find which regime saves you more tax. Our calculator uses the latest income tax slabs announced for 2026 with accurate calculations including 4% cess. Whether you're a salaried employee or self-employed, get instant tax calculations and make informed decisions about your tax planning. The new regime offers standard deduction of ₹75,000 while old regime allows various deductions under Section 80C, 80D, HRA exemptions, and home loan interest benefits.

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Calculate Your Tax

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Income Tax Slabs 2026 - Old vs New Regime

Old Tax Regime FY 2026-27

Income SlabTax Rate
Up to ₹2,50,000Nil
₹2,50,001 - ₹5,00,0005%
₹5,00,001 - ₹10,00,00020%
Above ₹10,00,00030%

Standard Deduction: ₹50,000 + Deductions under 80C, 80D, HRA

New Tax Regime FY 2026-27

Income SlabTax Rate
Up to ₹3,00,000Nil
₹3,00,001 - ₹7,00,0005%
₹7,00,001 - ₹10,00,00010%
₹10,00,001 - ₹12,00,00015%
₹12,00,001 - ₹15,00,00020%
Above ₹15,00,00030%

Standard Deduction: ₹75,000 (No other deductions)

How to Calculate Income Tax?

Income tax calculation in India follows a progressive tax system where different portions of your income are taxed at different rates. Here's the step-by-step process:

  1. Calculate Gross Total Income: Add all income from salary, house property, business, capital gains, and other sources.
  2. Apply Standard Deduction: Deduct ₹75,000 (new regime) or ₹50,000 (old regime) from salary income.
  3. Subtract Chapter VI-A Deductions: In old regime, deduct investments under 80C (up to ₹1.5L), 80D (health insurance), etc.
  4. Calculate Taxable Income: Gross Income - Standard Deduction - Other Deductions = Taxable Income.
  5. Apply Tax Slabs: Calculate tax for each slab separately and sum them up.
  6. Add Health & Education Cess: Add 4% cess on the total tax amount.
  7. Adjust TDS/TCS: Subtract any tax already deducted at source to get your final tax liability.

Example Calculation

Let's calculate tax for ₹12 lakh annual income in new regime:

  • • Income: ₹12,00,000.00
  • • Standard Deduction: ₹75,000.00
  • • Taxable Income: ₹11,25,000.00
  • • Tax on ₹0-3L: ₹0.00
  • • Tax on ₹3L-7L: ₹20,000.00 (5% of ₹4L)
  • • Tax on ₹7L-10L: ₹30,000.00 (10% of ₹3L)
  • • Tax on ₹10L-11.25L: ₹18,750.00 (15% of ₹1.25L)
  • • Total Tax: ₹68,750.00
  • • Add 4% Cess: ₹2,750.00
  • Final Tax: ₹71,500.00

Frequently Asked Questions

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