🇮🇳India

New vs Old
Tax Regime

Which tax regime saves you more? Enter your income and deductions to find out instantly.

Old Regime Tax

₹86,840

Taxable: ₹8.55 L · With deductions

New Regime Tax

₹71,500

Taxable: ₹11.25 L · Lower slabs

Recommendation

New Regime Wins

You save ₹15,340 per year

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❓ Frequently Asked Questions

Which tax regime is better — new or old?

It depends on your deductions. If your total deductions (80C + 80D + HRA + home loan interest) exceed ~₹3-4 lakh, the old regime often saves more tax. If you have few deductions, the new regime's lower slab rates and ₹75,000 standard deduction are advantageous.

Can I switch between regimes every year?

Salaried employees can switch between old and new regime every financial year. Business/professional income earners can switch only once (from new to old or vice versa). File the choice via Form 10IE with your ITR.

What deductions are NOT available in new regime?

Key deductions lost: Section 80C (₹1.5L), Section 80D (health insurance), HRA exemption, LTA, home loan interest (Section 24), professional tax, and most Chapter VI-A deductions. You still get ₹75,000 standard deduction and NPS employer contribution (80CCD(2)).

Does the new regime have lower tax rates?

Yes. New regime FY 2024-25 rates: 0% up to ₹3L, 5% for ₹3-7L, 10% for ₹7-10L, 15% for ₹10-12L, 20% for ₹12-15L, 30% above ₹15L. Old regime: 0% up to ₹2.5L, 5% for ₹2.5-5L, 20% for ₹5-10L, 30% above ₹10L.