Income tax on a ₹12 lakh salary — FY 2025-26
With a ₹12,00,000 salary and only the standard deduction, you pay ₹0 under the New Regime and ₹1,63,800 under the Old Regime — the New Regime saves ₹1,63,800 a year.
The Old Regime only wins if your deductions — HRA, 80C, 80D, home-loan interest and so on — come to more than ₹6,51,000.
Your own figure depends on HRA, investments, home loan and other income — the calculator below is pre-filled with ₹12,00,000; change anything to see your exact tax.
Let's start with you
Enter yearly amounts in ₹. Leave anything that doesn't apply as 0.
Salary
More salary items — professional tax▾
Home loan & property
Add each house you own that has a home loan or earns rent. Skip this step if you have none.
House Property
For a rented home, enter the full rent you received for the year. We subtract the municipal tax you paid, then deduct a flat 30% of what's left for repairs and upkeep (Sec 24a) — you don't need to show any bills. Home-loan interest is subtracted after that.
Business, freelancing & trading
Open only what applies to you. Most salaried people can skip this step.
Shares, mutual funds & other gains
Profit from what you sold this year. Enter a net loss with a minus sign, e.g. −50000.
Interest, investments & insurance
Interest is taxed in both regimes. A few deductions count in both regimes; most count only in the Old Regime.
Interest & Dividends
Other income — gifts, lottery or online-game winnings▾
Deductions
The standard deduction on salary is applied automatically. Tags show which regime each deduction counts in.
More deductions — parents' insurance, education loan, donations▾
Why this regime?
Side-by-Side Comparison Estimate: assumes FY 2025-26 slabs continueFY 2025–26
Inputs used & summary
What this means for you
Slab-wise tax ▾
Step-by-step: Old Regime ▾
Step-by-step: New Regime ▾
Checked against worked examples under the Income-tax rules for each year. An estimate to help you choose a regime, not tax advice — confirm with your ITR utility or a chartered accountant before filing.
How the numbers are worked out
- New regime slabs u/s 115BAC: FY 2024-25 ₹3L / 7L / 10L / 12L / 15L; FY 2025-26 onwards ₹4L / 8L / 12L / 16L / 20L / 24L. Old regime basic exemption ₹2.5L, ₹3L (60–79) or ₹5L (80+). FY 2026-27 assumes the FY 2025-26 rates continue under the Income-tax Act, 2025.
- 87A rebate for residents: ₹25,000 up to ₹7L (FY 2024-25) or ₹60,000 up to ₹12L (FY 2025-26 on) in the new regime, with marginal relief just above the limit; ₹12,500 up to ₹5L in the old regime. Not applied to tax on capital gains in the new regime.
- Listed equity: 20% short-term (111A), 12.5% long-term above ₹1.25L (112A); sales before 23 Jul 2024 at 15% / 10%. Foreign and other long-term gains at 12.5% with no exemption. Unused basic exemption is set against these gains for residents.
- Losses: business losses can't reduce salary; intraday losses only offset intraday profit; house-property loss offsets other income up to ₹2L in the old regime and not at all in the new.
- Surcharge 10% / 15% / 25% / 37% above ₹50L / 1Cr / 2Cr / 5Cr (new regime max 25%; 15% cap on capital gains and dividends) with marginal relief, plus 4% cess. Foreign tax credit limited to the Indian tax on that income. Final tax rounded to the nearest ₹10 (Sec 288B).
simpleapps.world/incometax · An estimate, not tax advice.
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