New vs Old Tax Regime Calculator (FY 2026-27 / AY 2027-28)
The New vs Old Tax Regime Calculator compares tax liabilities for FY 2026-27. The New Regime is default with a тВ╣75,000 standard deduction and zero tax up to тВ╣12 Lakhs (plus marginal relief up to тВ╣12.7L). The Old Regime has a тВ╣50,000 standard deduction and allows claiming exemptions like HRA, 80C, and 80D.
Compare your tax liabilities under the Old and New tax regimes. Find your breakeven deductions and plan your investments to minimize tax liability.
Enter Income & Deductions
Deductions Breakeven Analysis
Your current Old Regime deductions are тВ╣ 1,75,000. You need total deductions of at least тВ╣ 2,50,000 to make the Old Tax Regime more beneficial.
| Tax Particulars | Old Tax Regime | New Tax Regime (Default) |
|---|---|---|
| Gross Annual Income | тВ╣ 8,00,000 | тВ╣ 8,00,000 |
| Standard Deduction | тВ╣ 50,000 | тВ╣ 75,000 |
| Deductions & Exemptions | тВ╣ 1,75,000 | тВ╣ 0 |
| Net Taxable Income | тВ╣ 5,75,000 | тВ╣ 7,25,000 |
| Tax at Slab Rates | тВ╣ 27,500 | тВ╣ 16,250 |
| Section 87A Rebate | тВ╣ 0 | тВ╣ 16,250 |
| Section 87A Marginal Relief | тВ╣ 0 | тВ╣ 0 |
| Surcharge | тВ╣ 0 | тВ╣ 0 |
| Surcharge Marginal Relief | тВ╣ 0 | тВ╣ 0 |
| Health & Ed Cess (4%) | тВ╣ 1,100 | тВ╣ 0 |
| Total Tax Payable | тВ╣ 28,600 | тВ╣ 0 |
Old Tax Regime
| Slab Range | Rate | Taxable in Slab | Slab Tax |
|---|
New Tax Regime
| Slab Range | Rate | Taxable in Slab | Slab Tax |
|---|
Comparison of Tax Slabs (FY 2026-27 / AY 2027-28)
The Union Budget has made the New Tax Regime the default scheme, offering significantly lowered tax slabs, a higher Section 87A rebate, and an increased Standard Deduction. However, you forfeit most deductions. The Old Tax Regime keeps higher tax rates but allows you to reduce taxable income using dynamic savings.
New Tax Regime Slabs (Default u/s 115BAC)
| Taxable Income Slab (тВ╣) | Tax Rate |
|---|---|
| Up to 4,00,000 | Nil (0%) |
| 4,00,001 to 8,00,000 | 5% |
| 8,00,001 to 12,00,000 | 10% |
| 12,00,001 to 16,00,000 | 15% |
| 16,00,001 to 20,00,000 | 20% |
| 20,00,001 to 24,00,000 | 25% |
| Above 24,00,000 | 30% |
*Standard Deduction of тВ╣75,000 automatically applies to salaried individuals.
Old Tax Regime Slabs (For Age < 60 Years)
| Taxable Income Slab (тВ╣) | Tax Rate |
|---|---|
| Up to 2,50,000 | Nil (0%) |
| 2,50,001 to 5,00,000 | 5% |
| 5,00,001 to 10,00,000 | 20% |
| Above 10,00,000 | 30% |
*Standard Deduction of тВ╣50,000 automatically applies to salaried individuals.
How to Determine Your Breakeven Deduction Point
The Breakeven Deduction Point is the threshold of tax-saving investments at which your tax under both regimes becomes identical. If you can invest more than the breakeven amount, choose the Old Tax Regime. Otherwise, the New Tax Regime is mathematically better.
For salaried individuals, typical breakeven thresholds are:
- Gross Income up to тВ╣12.75L: The New Regime is almost always better (tax is zero or minimal due to тВ╣12L rebate + standard deduction).
- Gross Income тВ╣15 Lakhs: Breakeven deductions are approx. тВ╣3,50,000.
- Gross Income тВ╣20 Lakhs: Breakeven deductions are approx. тВ╣4,25,000.
- Gross Income тВ╣25 Lakhs+: Breakeven deductions rise to тВ╣4,50,000 to тВ╣5,50,000.
Common Old Regime deductions include Section 80C (PPF/LIC/EPF) up to тВ╣1.5L, Section 80D (Health Insurance) up to тВ╣50k-1L, Section 24b (Home Loan Interest) up to тВ╣2L, and HRA (House Rent Allowance).