Income Tax Calculator (FY 2024-25)
Compare exact tax liability between the default New Tax Regime (`Section 115BAC`) and Old Tax Regime (`Section 80C/HRA`).
Recommendation: New Tax Regime Saves ₹20,800 / Year!
Even with your exemptions, the lower slab rates of Section 115BAC result in lower tax.
New Tax RegimeBest Choice
Gross Salary:₹12,00,000
Standard Deduction:- ₹50,000
Taxable Income:₹11,50,000
Base Tax:₹82,500
Health & Edu Cess (4%):₹3,300
Total Tax Payable:₹85,800
Old Tax Regime
Gross Salary:₹12,00,000
Standard Deduction:- ₹50,000
Chapter VI-A / Other Ded.:- ₹2,00,000
Taxable Income:₹9,50,000
Base Tax:₹1,02,500
Health & Edu Cess (4%):₹4,100
Total Tax Payable:₹1,06,600
View Step-by-Step Mathematical Derivation & Slab Breakdown
1. New Tax Regime Derivation (`Section 115BAC`):
Taxable Income = ₹12,00,000 - ₹50,000 = ₹11,50,000.
Slab computation: 0% up to ₹3L, 5% on ₹3L-₹6L, 10% on ₹6L-₹9L, 15% on ₹9L-₹12L, 20% on ₹12L-₹15L, and 30% above ₹15L. Base Tax = ₹82,500.
Add 4% Health & Education Cess (`₹$3,300`) → Total Tax = ₹85,800.
Taxable Income = ₹12,00,000 - ₹50,000 = ₹11,50,000.
Slab computation: 0% up to ₹3L, 5% on ₹3L-₹6L, 10% on ₹6L-₹9L, 15% on ₹9L-₹12L, 20% on ₹12L-₹15L, and 30% above ₹15L. Base Tax = ₹82,500.
Add 4% Health & Education Cess (`₹$3,300`) → Total Tax = ₹85,800.
2. Old Tax Regime Derivation:
Taxable Income = ₹12,00,000 - ₹2,50,000 (Standard Deduction + 80C + Other) = ₹9,50,000.
Slab computation: 0% up to ₹2.5L, 5% on ₹2.5L-₹5L, 20% on ₹5L-₹10L, and 30% above ₹10L. Base Tax = ₹1,02,500.
Add 4% Health & Education Cess (`₹$4,100`) → Total Tax = ₹1,06,600.
Taxable Income = ₹12,00,000 - ₹2,50,000 (Standard Deduction + 80C + Other) = ₹9,50,000.
Slab computation: 0% up to ₹2.5L, 5% on ₹2.5L-₹5L, 20% on ₹5L-₹10L, and 30% above ₹10L. Base Tax = ₹1,02,500.
Add 4% Health & Education Cess (`₹$4,100`) → Total Tax = ₹1,06,600.
How to Use the Income Tax Calculator
The Income Tax Calculator is a free, easy-to-use tool that helps you get accurate results instantly. Simply enter your values in the input fields above and the results will update in real time.
Step-by-Step Guide
- Enter the required values in the input fields provided above.
- Adjust the inputs using the sliders or type directly for precision.
- View the calculated results displayed below the inputs.
- Use the detailed breakdown to understand the numbers better.
Why Use This Calculator?
Manual calculations can be tedious and error-prone. Our income tax calculator uses precise mathematical formulas to give you reliable results in milliseconds. Whether you are planning, comparing options, or just curious, this tool saves you time and effort.
Results are calculated using industry-standard formulas with full floating-point precision.