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Income Tax Calculator IndiaFY 2025-26 (AY 26-27) | Salary & Capital Gains

New Regime DefaultZero Tax up to ₹12L*Updated for Budget 2025

Updated as per the Union Budget 2025 – calculate your exact tax liability in seconds. Supports Salary, Rental Income, and Capital Gains under the new tax regime (FY 2025–26, AY 2026–27).
Explore our full suite of tax calculators for comprehensive financial planning.

4.7
(1,625)
FAQs
FY:

Income Sources & Capital Gains

Enter total Gross Salary before any deductions. Include Basic Pay, HRA, LTA, Bonus, and Special Allowances. Do not subtract PF or Tax yet.
%
Typically 50% of CTC. This impacts your HRA Exemption and PF calculation logic.
Annual rent received from tenants. The calculator automatically deducts 30% Standard Deduction (Sec 24a) and Municipal Taxes.
Profit from selling stocks/equity funds held for less than 12 months. Taxed at 20% (New Rate) under Section 111A.
Profit from selling stocks/equity funds held for more than 12 months. Gains above ₹1.25 Lakh are taxed at 12.5% (Section 112A).
Interest from Savings/FD, Dividends, or Freelance income. Taxed at slab rates.

Tax Deductions & Exemptions

Interest on loan for Rented Property. Fully deductible under Section 24(b). Note: Self-occupied property interest is NOT deductible in New Regime.
State-level tax (approx ₹2,500/year). Deductible from Gross Salary even in New Regime.
Includes Gratuity (Sec 10(10)), Leave Encashment, and Voluntary Retirement Receipts. Do not include HRA or 80C here (removed in New Regime).

Employer Provident Fund Contribution

Standard 12% deduction from Basic Salary. This is your contribution to EPF.
Enable if your employer contributes to NPS. This amount (up to 10% of Basic) is Tax-Free over and above the standard limit.
%
10% for Private Sector, 14% for Govt Employees. Deductible under Section 80CCD(2).
VERIFIED: FINANCE ACT 2025

Sample Calculation: Tax on ₹63.4 Lakhs Total Income

This example demonstrates a complex HNI scenario under the New Regime (FY 2025-26).

Income Profile: Salary (₹52L) + Rental (₹2.4L) + Capital Gains (₹8L) + Other Sources (₹1L).
Result: After deducting Standard Deduction (₹75k), Employer NPS (₹2.6L), and Home Loan Interest, the Net Taxable Income is ₹49.11 Lakhs.

Notice that the Total Tax (₹13.27L) includes Surcharge (₹1.16L) and specific rates for STCG (20%) & LTCG (12.5%).

Key Features Used:

  • Auto-calculation of Rental Income Standard Deduction (30%).
  • Separation of Special Rate Tax (Capital Gains) from Slab Rates.
  • Verified against official Income Tax Department logic.

👉 Enter your actual details above and click Check Tax Liability to get your precise breakdown.

Tax Summary

Comprehensive breakdown of your Annual Income, Applicable Deductions, Taxable Income, and Final Tax Liability.
Recalculate
Tax FAQs

Gross Total Income

₹63,40,000

Salary Income:₹52,00,000
Rental Income:₹2,40,000
Other Sources:₹1,00,000
STCG (Equity):₹3,00,000
LTCG (Equity):₹5,00,000

Total Deductions

₹6,28,600

PF Contribution (Employee):₹21,600
NPS Deduction (Sec 80CCD):₹2,60,000
Other Exemptions:₹1,00,000
Standard Deduction:₹75,000
Std Deduction (Rent 30%):₹72,000
Home Loan Interest:₹1,00,000

Net Taxable Income

₹49,11,400

(Gross Income - Deductions)

Total Tax Payable

₹13,27,377

Income Tax (Slab):₹10,53,420
STCG Tax (20%):₹60,000
LTCG Tax (12.5%):₹46,875
Surcharge:₹1,16,030
Cess (4%):₹51,053

Net Annual Income

₹50,10,123

(Post-Tax In-Hand)

📅 Note:ITR filing due date for FY 2025-2026 is July 31, 2026. Verify details on incometax.gov.in.

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Top Reviews

11 reviews
N

Narender

5 stars
13 Nov 2025

Thank you for the feedback.

A

Anonymous

5 stars
27 Oct 2025

Very useful during tax season. The surcharge calculation is correct.

A

Anonymous

5 stars
19 Sept 2025

Great for tax planning! The capital gains calculation is especially useful.

A

Anonymous

5 stars
22 Aug 2025

Perfect for quick tax estimates. Use this every year before filing.

A

Anonymous

5 stars
17 Aug 2025

Very comprehensive income tax calculator. Handles all income sources perfectly.

A

Anonymous

5 stars
10 Aug 2025

Simple and accurate. Helped me file my taxes without hiring a CA.

A

Anonymous

5 stars
20 Jul 2025

Excellent tool for freelancers with multiple income sources.

A

Anonymous

5 stars
24 Jun 2025

Outstanding calculator with all the features I need!

A

Anonymous

5 stars
18 Jun 2025

Makes tax filing so much easier. Highly accurate!

A

Anonymous

4 stars
14 Jun 2025

Clean interface and easy to understand. Recommended for everyone.

Capital Gains Tax Rates (FY 2025-26)

Selling shares or property? The tax rate depends on your Holding Period. Use this cheat sheet to check if your profit is Short Term (STCG) or Long Term (LTCG) under the updated Finance Act rules.

Asset TypeHolding PeriodTax TypeTax Rate
Listed Stocks & Equity Mutual Funds
< 12 Months
> 12 Months
STCG
LTCG
20%
12.5%
*Above ₹1.25L profit
Real Estate / Property
< 24 Months
> 24 Months
STCG
LTCG
Slab Rate
12.5%
*No Indexation
Debt Mutual Funds
Any Duration
STCG / LTCG
Slab Rate

💡Investor Tip: Not sure how much profit you'll make? Use our Mutual Fund Returns Calculator to estimate your future portfolio value before calculating the tax liability.

Tax Trap: In the updated FY 2025-26 rules, the LTCG exemption limit for stocks has increased to ₹1.25 Lakhs. However, Real Estate LTCG dropped to 12.5% but lost the Indexation benefit. This significantly impacts property sellers.

Old vs. New Regime: The "Breakeven" Guide (FY 2025-26)

The New Tax Regime is now the default and offers lower tax rates. However, the Old Regime isn't dead—it still wins if you have high deductions (Home Loan + HRA).

GOLDEN RULE

The "₹4.25 Lakh" Breakeven

If your total deductions (HRA + 80C + Home Loan Interest) exceed ₹4,25,000, stick to the Old Regime.

Quick Check:

  • Deductions < ₹4.25L → New Regime Wins
  • Deductions > ₹4.25L → Old Regime Wins

Who should choose what?

New Regime (Default)Best for Income < ₹15L, Freshers, or those with no Home Loan/HRA. Zero tax up to ₹12L (with rebate).
Old RegimeBest for High Earners (>₹15L) claiming HRA + ₹2L Home Loan Interest + ₹1.5L 80C.
FeatureNew Regime (FY 25-26)Old Regime
Tax-Free Limit₹ 12 Lakhs (Rebate u/s 87A)₹ 5 Lakhs
Standard Deduction₹ 75,000₹ 50,000
80C / 80D / HRA
Not Allowed
Allowed
Home Loan InterestLet-Out Property OnlySelf-Occupied (₹2L) + Let-Out

Real Tax Benchmarks (What Others Pay)

Don't just rely on theory. We analyzed 74,000+ actual calculations to show the Real Income Tax paid by users in FY 2025-26. Compare your tax against the national average.

Total IncomeReal Avg TaxVerdict
7 Lakhs₹ 2,040Low Tax
10 Lakhs₹ 1,730Tax Free
12 Lakhs₹ 2,360Tax Free
13 Lakhs₹ 18,400Reality Gap
15 Lakhs₹ 78,700The Jump
20 Lakhs₹ 1.73 LakhStandard
26 Lakhs₹ 3.20 LakhHigh
30 Lakhs₹ 4.37 LakhHigh
50 Lakhs₹ 10.47 LakhSurcharge
Data Source: Aggregated anonymous data from 74,000+ recent calculations on TaxCalculators.in.

Why do 13L Earners pay tax?

Theoretically, ₹13 Lakhs can be tax-free. However, our data shows average users pay ₹18k. This happens when you don't fully utilize the Employer PF & Gratuity restructuring.Use the calculator above to optimize your structure to zero.

The Missed Deduction

Surprisingly, only 3.6% of users earning ₹20 Lakhs claimed Home Loan Interest benefits. Remember: Under the New Regime, interest on Let-Out Property is still fully deductible (Section 24b). Don't miss this if you rent out a flat!

Is Tax Saving "Dead" in the New Regime?

For most, yes. But for High Income Earners (>₹20 LPA), three powerful strategies still work in FY 2025-26.

1. The "Employer NPS" Route

Section 80CCD(2): Ask your company to contribute 10% of your Basic Salary directly to NPS. This is tax-free *over and above* the standard limit.

Impact: Saves ₹30k - ₹1.5L tax (on top of ₹75k Std Deduction).

2. Let-Out Property Loss

Section 24(b): Interest on a home loan for a Rented House is still deductible (unlike self-occupied). You can set off loss up to ₹2 Lakhs against salary.

Impact: Reduces taxable income by up to ₹2 Lakhs directly.

3. Capital Gains Harvesting

₹1.25L Exemption: LTCG on equity is tax-free up to ₹1.25 Lakhs per year. Book profits annually to reset your cost basis.

Impact: Tax-free growth on ₹1.25L profit every financial year.

Note: The old "HRA + 80C" strategy is mathematically dead for 90% of salaried employees earning < ₹15 Lakhs. Focus on increasing your Gross In-Hand rather than chasing deductions.

Maximize Your Rent Allowance

Don't guess your exemption. Calculate the exact HRA amount you can claim based on your city and basic pay.

Open HRA Calculator →

Ultimate Tax Saving Guide

Explore 15+ legitimate ways to save tax beyond Section 80C in FY 2025-26.

Read Full Guide →

Income Tax Slabs & Rules (FY 2025-26)

This calculator follows the official Finance Act 2025 amendments under Section 115BAC. The New Tax Regime is the default for all taxpayers (Salaried, Professionals, and Business Owners). It offers concessional tax rates with two major relief measures:

NEW
₹75,000 Standard Deduction

Increased from ₹50,000. Applicable to Salaried Individuals and Pensioners, reducing Net Taxable Income flat.

ZERO TAX
₹12 Lakh Tax-Free Limit

With the increased Rebate u/s 87A (up to ₹60k), any taxpayer with income up to ₹12 Lakhs pays ₹0 Tax.

Net Taxable Income (FY 2025-26)Tax Rate
Up to ₹ 4,00,000Nil
₹ 4,00,001 - ₹ 8,00,0005%
₹ 8,00,001 - ₹ 12,00,00010%
₹ 12,00,001 - ₹ 16,00,00015%
₹ 16,00,001 - ₹ 20,00,00020%
₹ 20,00,001 - ₹ 24,00,00025%
Above ₹ 24,00,00030%
Note: A 4% Health & Education Cess applies to the total tax. Surcharge (10% or 25%) is applicable for total income exceeding ₹50 Lakhs and ₹2 Crores respectively.

Sources & Citations:
1. Income Tax India - Official Tax Rates
2. Union Budget 2025 Documents

This calculator and guide were developed by the TaxCalculators.in team and reviewed for accuracy against the latest FY 2025-26 guidelines by our finance experts. Last updated: October 21, 2025.

Income Tax Related FAQs

Recalculate

Yes, but with a condition. Under the New Tax Regime, if your Net Taxable Income (after Standard Deduction) does not exceed ₹12,00,000, you get a full tax rebate of ₹60,000 u/s 87A. However, if your income crosses this limit even by ₹100, the rebate vanishes, and you pay tax on the slabs above ₹4 Lakhs.

Our calculator separates special rate income from your salary slab. Short-Term Capital Gains (STCG) on equity are taxed at 20%, while Long-Term Capital Gains (LTCG) above ₹1.25 Lakh are taxed at 12.5%. For property/real estate, the new LTCG rate is 12.5% without indexation benefit.

Yes. Even under the New Tax Regime, you can claim interest on a home loan for a 'Let-Out Property' (rented house) under Section 24(b). However, for a Self-Occupied property, this deduction is not available in the New Regime.

While 80C and HRA are gone, you can still claim: 1) Standard Deduction (₹75,000), 2) Employer NPS Contribution (Sec 80CCD(2)), and 3) Home Loan Interest on Let-Out Property. This calculator automatically applies these valid deductions.

Yes. If your total income exceeds ₹50 Lakhs, the calculator automatically applies the applicable Surcharge (10% or 25%). It also checks for 'Marginal Relief'—ensuring you don't pay more in tax than the income you earned above the threshold.

Since Section 80C is not available, the most effective tool is the 'Employer NPS' route. Ask your company to contribute 10% of your Basic Salary to NPS directly. This amount is fully deductible under Section 80CCD(2) over and above the ₹75,000 Standard Deduction.

Gross Salary is your total earnings. Taxable Income is what remains after subtracting exemptions like the ₹75,000 Standard Deduction and Professional Tax. Income Tax is calculated only on this 'Net Taxable Income' figure.