About this tool
Pick a regime, enter your income and deductions, and see tax for every slab, the Section 87A rebate, surcharge and cess. Under the new regime, salaried income up to ₹12.75 lakh (₹12 lakh plus the ₹75,000 standard deduction) is effectively tax-free.
Working through your tax for FY 2026-27
Income tax looks complicated, but the calculation follows a clear order, and this tool shows every step. It starts with your gross income, subtracts the standard deduction if you are salaried, applies any deductions allowed in your chosen regime, and then taxes what is left slab by slab. After that it applies the Section 87A rebate where you qualify, adds surcharge for very high incomes, and finally adds 4% health and education cess.
A worked example helps. Under the new regime, a salaried person earning ₹15 lakh has taxable income of ₹14.25 lakh after the ₹75,000 standard deduction. The slabs produce tax of ₹93,750, and with cess the total is ₹97,500. At ₹12.75 lakh of salary, the rebate brings tax to zero. Just above that line, marginal relief makes sure the extra tax never exceeds the extra income, which is why someone earning ₹13 lakh pays about ₹26,000 rather than a much larger jump.
Use the slab table to understand your marginal rate, which is the rate on your last rupee of income. It tells you how much of a pay rise or bonus you will keep, and whether a deduction is worth chasing under the old regime. Keep your Form 16, salary slips and investment proofs nearby so the inputs match reality. Income such as capital gains is taxed at special rates and is not included here, so add that separately if it applies. The new Income-tax Act 2025 renames some terms, but the slab calculation shown here follows the same logic.
How to use it
- Enter your numbers in the boxes, or drag the sliders.
- Read the result on the right. It updates as you type.
- Compare it with your payslip or Form 16, and adjust deductions to match.
- Use 'Copy link with these values' to save the calculation or send it to someone.
Questions
What are the new regime slabs for FY 2026-27?
Up to ₹4 lakh: nil; ₹4–8 lakh: 5%; ₹8–12 lakh: 10%; ₹12–16 lakh: 15%; ₹16–20 lakh: 20%; ₹20–24 lakh: 25%; above ₹24 lakh: 30%. Budget 2026 left these unchanged.
How does the 87A rebate work?
Under the new regime, if taxable income is ₹12 lakh or less the rebate (up to ₹60,000) cancels the tax. Just above ₹12 lakh, marginal relief caps your tax at the amount by which income exceeds ₹12 lakh. Under the old regime the rebate is up to ₹12,500 for income up to ₹5 lakh.
Does the new Income Tax Act 2025 change my tax?
It replaces the 1961 Act from 1 April 2026 and renumbers sections, but the slabs, standard deduction and rebate for FY 2026-27 are the same.
Last reviewed 16 October 2026. Results are estimates for planning. Check important figures with your bank, employer or a qualified adviser.