Finance · Popular

Income Tax Calculator

A comprehensive income tax calculator supporting old and new tax regimes. Enter your gross income and deductions to see your tax liability, effective rate, and take-home pay instantly.

Annual gross income (₹)

Deductions — 80C, 80D, HRA, etc. (₹)

Tax regime New Regime (FY 2024-25) Old Regime

Total tax payable

₹0

Effective rate

Take-home (yearly)

₹0

Monthly in-hand

₹0

Slab breakdown

Disclaimer. This calculator provides estimates based on standard FY 2024-25 slabs. Actual tax may vary based on surcharge, special incomes, or exemptions. Consult a tax professional for filing.

Method

How this calculator works

Income tax uses progressive slab rates — each income bracket is taxed at its own rate. Tax = sum of (income in each slab × slab rate) + 4% cess.

Taxable Income = Gross Income − Deductions
Tax = Σ (Income in Slab × Slab Rate)
Total Tax = Tax + 4% Cess

Enter your annual gross income.
Add total deductions (80C, 80D, HRA, etc.) — applicable in Old Regime only.
Select your tax regime (Old or New).
The calculator applies slab rates to your taxable income progressively.
Cess (4%) is added. Section 87A rebate is applied if eligible.

Examples

Worked examples

Real numbers, end-to-end results.

₹10L income · New Regime

Tax ₹54,600 · Effective 5.5%

Standard salaried employee with no deductions needed.

₹15L income · Old Regime · ₹2.5L deductions

Tax ₹1,56,000 · Effective 10.4%

Old regime beneficial when deductions exceed ₹2L+.

₹7L income · New Regime

Tax ₹0 (87A rebate)

Full rebate applies under new regime.

Use cases

When to use it

Plan your salary structure and tax-saving investments for the financial year.
Compare Old vs New regime to pick the optimal one.
Estimate advance tax payments for freelancers and self-employed.
Quick estimate before filing ITR.

FAQ

Frequently asked questions

What is income tax and how is it calculated?

Income tax is a government levy on your earned income. It is calculated by applying progressive slab rates to your taxable income (gross income minus eligible deductions). Higher income portions are taxed at higher rates.

What is the difference between Old Regime and New Regime?

The Old Regime allows claiming deductions under 80C, 80D, HRA, etc., but has higher slab rates. The New Regime offers lower slab rates but removes most deductions. Choose based on which gives you lower tax.

What is Section 87A rebate?

Under the New Regime, if your taxable income is ₹7 lakh or below, you get a full rebate — meaning zero tax. This makes effective tax-free income higher in the new regime.

What is cess and why is it added?

Health and Education Cess is 4% of your total tax (before cess). It funds government health and education initiatives. It applies to everyone regardless of regime or income level.

How do I reduce my income tax legally?

Under the Old Regime: invest in 80C instruments (PPF, ELSS, NPS), claim HRA, medical insurance (80D), home loan interest (24b). Under New Regime: options are limited as most deductions are removed.

What is effective tax rate?

Effective tax rate is total tax divided by gross income, expressed as a percentage. It shows what percentage of your overall income goes to tax — often much lower than the highest slab rate applicable to you.