Here is the income tax on common salaries for FY 2026-27 (AY 2027-28) under both regimes. Enter your own salary and deductions in the calculator for an exact comparison.
Tax by salary
| Yearly salary | New regime | Old regime* | Lower option |
|---|---|---|---|
| ₹10 lakh | ₹0 | ₹65,000 | New |
| ₹12 lakh | ₹0 | ₹1,06,600 | New |
| ₹12.75 lakh | ₹0 | ₹1,24,800 | New |
| ₹15 lakh | ₹97,500 | ₹1,95,000 | New |
| ₹20 lakh | ₹1,92,400 | ₹3,51,000 | New |
| ₹25 lakh | ₹3,19,800 | ₹5,07,000 | New |
*Old regime assumes ₹1.5 lakh of 80C investments and ₹50,000 of other deductions. Salaried resident below 60, including 4% cess.
Why ₹12.75 lakh salary is tax-free
Under the new regime, salaried people get a ₹75,000 standard deduction, which brings ₹12.75 lakh down to ₹12 lakh of taxable income. A rebate of up to ₹60,000 then cancels the tax on income up to ₹12 lakh. Just above that limit, marginal relief makes sure your tax is never more than the income above ₹12 lakh.
New regime slabs for FY 2026-27
| Taxable income | Rate |
|---|---|
| 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% |
Frequently asked questions
Is the old regime ever better?
Only if your deductions are large, typically ₹4.5–8 lakh or more depending on salary. See who should still choose the old regime.
How much is my tax per month?
Divide the yearly tax by 12. On ₹15 lakh under the new regime, that is about ₹8,125 a month, usually deducted from salary as TDS.
An estimate; excludes capital gains and specially taxed income. Confirm with a tax professional. Related: HRA exemption calculator · Gratuity calculator