Mastering Income Tax for AY 2026-27
Understanding the Finance Act 2026 is crucial for maximizing your take-home salary. With the introduction of the standard deduction hike to ₹75,000 and revised tax slabs in the New Regime, taxpayers have more opportunities to save. Our advanced Income Tax Calculator India helps you compare the Old vs. New Regime instantly, ensuring you choose the most beneficial option.
How to Use This Tool
- Enter your Gross Annual Salary (CTC) in the input field.
- Select your Age Group (Tax slabs differ for Senior Citizens in Old Regime).
- Add any Exemptions like HRA, LTA, or Standard Deduction (auto-calculated).
- Input Deductions under Section 80C, 80D, etc., if choosing the Old Regime.
- Click Calculate Tax to see a side-by-side comparison.
Frequently Asked Questions
Generally, yes. With the lower tax rates (max 30% above ₹15L) and increased
standard deduction of ₹75,000, the New Regime is beneficial for those with
deductions less than ₹3.75 Lakhs.
Salaried individuals can switch between Old and New regimes every year based on
which is more beneficial. However, those with business income can only switch
once.
As per Finance Act 2026, the Standard Deduction has been increased to
₹75,000 for salaried employees under the New Tax Regime.