What does this tool do?
It tells you how much income tax you will pay on your salary under the New Regime and the Old Regime, shows which one saves you more money, and estimates your monthly in-hand (take-home) salary.
Who is it for?
Any salaried person in India — whether you earn ₹5 lakh or ₹1 crore a year. Especially useful at the start of the financial year when your company asks you to choose a tax regime.
How to use it (step by step)
- Go to the 🧮 Calculator tab.
- Enter your annual gross salary (CTC excluding employer PF/gratuity is best) and your basic salary (from your salary slip).
- If you live in a rented house, enter your monthly rent and the HRA you receive, and pick metro/non-metro.
- Enter your Old-Regime deductions (80C investments, health insurance 80D, home loan interest, NPS, etc.). Leave blank if none.
- Results update instantly — see the side-by-side comparison and the green banner telling you which regime is better.
Example use cases
- Riya, ₹11 lakh salary, no investments: New regime gives her zero tax (income up to ₹12L is tax-free after the ₹75,000 standard deduction and 87A rebate).
- Amit, ₹18 lakh salary, pays ₹25,000 rent, full 80C + home loan: he can check whether his large deductions make the Old Regime cheaper.
- HR/finance teams answering "which regime should I pick?" questions from employees.
Good to know
- New regime standard deduction: ₹75,000. Old regime: ₹50,000.
- Zero tax in new regime for taxable income up to ₹12 lakh (87A rebate up to ₹60,000, with marginal relief just above ₹12L).
- Surcharge applies above ₹50 lakh taxable income. This tool applies surcharge at flat rates; surcharge marginal relief is not computed, so tax shown just above ₹50L/₹1Cr/₹2Cr/₹5Cr thresholds may be slightly higher than actual.
- Employee EPF is automatically counted inside your 80C limit for the Old Regime.