FY 2025-26 new tax regime is now the default for most taxpayers - ₹12 lakh exemption threshold (rebate under Section 87A), 4% cess, simpler 6-slab structure. Calculate your liability under the new regime with this calculator. Compare against old regime to see which is cheaper for your situation.
When to use this
Use for: salaried employees / freelancers deciding which regime to opt for, ITR-1 / ITR-2 filings under new regime, computing TDS that employer should deduct under new regime, planning advance tax under new regime.
Frequently Asked Questions
Is the new regime mandatory?
Default since FY 2023-24, but you can still opt for old regime if it's cheaper for your situation. Indicate your choice when filing ITR. Tax-saving investments (80C / HRA) only help in old regime; new regime has lower rates but no deductions.
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