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  1. Home
  2. Calculators
  3. Old vs New Tax Regime
FY 2025-26 (AY 2026-27)

Old Tax Regime vs New Tax RegimeWhich Saves You More Tax?

Complete comparison of tax slabs, deductions, and exemptions. Calculate which regime is better for you in FY 2025-26.

Calculate Your TaxView Detailed Comparison
Traditional System
Old Tax Regime

More tax slabs but allows deductions under 80C, HRA, home loan interest, and other exemptions.

80C deductions up to ₹1.5 lakh
HRA exemption allowed
Home loan interest (₹2 lakh)
Higher tax rates
Best for: High investments & deductions
Default from FY 2023-24
New Tax Regime

Lower tax rates with more slabs but minimal deductions. Only ₹75,000 standard deduction allowed.

Lower tax rates
No tax up to ₹7 lakh
₹75,000 standard deduction
No 80C, HRA, or other exemptions
Best for: Low/no deductions

Tax Slabs Comparison FY 2025-26

Old Tax Regime Slabs
Up to ₹2,50,000
₹0
Nil
₹2,50,001 - ₹5,00,000
Upto ₹12,500
5%
₹5,00,001 - ₹10,00,000
Upto ₹1,00,000
20%
Above ₹10,00,000
30% of excess
30%
Rebate u/s 87A
Up to ₹12,500 for income ≤ ₹5 lakh
New Tax Regime Slabs
Up to ₹3,00,000
₹0
Nil
₹3,00,001 - ₹7,00,000
Upto ₹20,000
5%
₹7,00,001 - ₹10,00,000
Upto ₹30,000
10%
₹10,00,001 - ₹12,00,000
Upto ₹30,000
15%
₹12,00,001 - ₹15,00,000
Upto ₹60,000
20%
Above ₹15,00,000
30% of excess
30%
Rebate u/s 87A
Up to ₹25,000 for income ≤ ₹7 lakh

Deductions & Exemptions

Old Regime - Available Deductions
80C
₹1,50,000
PPF, ELSS, Life Insurance, Home Loan Principal
80D
₹25,000 - ₹50,000
Health Insurance Premium
80CCD(1B)
₹50,000
NPS Contribution
HRA
Actual HRA or 50%/40% of salary
House Rent Allowance
LTA
Actual bills
Leave Travel Allowance
24(b)
₹2,00,000
Home Loan Interest
80E
No limit
Education Loan Interest
80G
50% or 100%
Donations
New Regime - Available Deductions
None
₹75,000
Standard Deduction
None
-
No other deductions allowed
⚠️ Important Note
No deductions under 80C, 80D, HRA, LTA, or home loan interest are allowed in the new tax regime. Only ₹75,000 standard deduction is available.

Real Income Examples

Annual Income: ₹6,00,000

₹1,50,000 (80C)

Old Regime Tax:₹12,500
New Regime Tax:₹15,000
🎯 Old Regime Saves ₹2,500
Annual Income: ₹8,00,000

₹0

Old Regime Tax:₹62,500
New Regime Tax:₹40,000
🎯 New Regime Saves ₹22,500
Annual Income: ₹12,00,000

₹2,00,000 (80C + NPS + HRA)

Old Regime Tax:₹1,12,500
New Regime Tax:₹90,000
🎯 Old Regime Saves ₹22,500
Annual Income: ₹15,00,000

₹0

Old Regime Tax:₹2,62,500
New Regime Tax:₹1,50,000
🎯 New Regime Saves ₹1,12,500

* Examples are illustrative. Actual tax may vary based on other deductions and exemptions.

How to Decide?

OLD
Choose Old Regime If:

  • You invest in 80C (PPF, ELSS, Insurance)
  • You claim HRA exemption
  • You have home loan
  • Total deductions exceed ₹2-3 lakh

NEW
Choose New Regime If:

  • You have minimal investments
  • You don't claim HRA
  • Income below ₹10 lakh
  • You want simpler tax filing
Compare Both Regimes for Your Income

Frequently Asked Questions

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