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Income Tax Slabs

New regime and old regime, for the last, current and next assessment years. For planning, not filing: your effective tax also depends on deductions, surcharge and cess.

Current — AY 2026-27

FY 2025-26 · returns being filed now

The new regime (Section 115BAC) is the default. The Section 87A rebate makes taxable income up to ₹12 lakh effectively tax-free — up to ₹12.75 lakh for salaried taxpayers after the ₹75,000 standard deduction.

New Regime (default)

Taxable income (₹)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%

Rebate u/s 87A up to ₹60,000 (income ≤ ₹12 lakh) · Standard deduction ₹75,000 for salaried.

Old Regime (optional, with deductions)

Taxable income (₹)Rate
Up to 2,50,000Nil
2,50,001 – 5,00,0005%
5,00,001 – 10,00,00020%
Above 10,00,00030%

Permits 80C, 80D, HRA, home-loan interest and other deductions. Basic exemption: ₹3 lakh for senior citizens (60–80), ₹5 lakh above 80.

Next — AY 2027-28

FY 2026-27 · the year we're in now

Budget 2026 made no change to slabs or exemption limits — the FY 2025-26 structure continues for income you earn this financial year.

New Regime (default)

Taxable income (₹)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%

Same slabs, rebate and standard deduction as FY 2025-26.

Old Regime (optional)

Taxable income (₹)Rate
Up to 2,50,000Nil
2,50,001 – 5,00,0005%
5,00,001 – 10,00,00020%
Above 10,00,00030%

Unchanged.

Last — AY 2025-26

FY 2024-25 · for belated/revised returns

The pre-Budget-2025 structure: rebate made income up to ₹7 lakh tax-free in the new regime.

New Regime

Taxable income (₹)Rate
Up to 3,00,000Nil
3,00,001 – 7,00,0005%
7,00,001 – 10,00,00010%
10,00,001 – 12,00,00015%
12,00,001 – 15,00,00020%
Above 15,00,00030%

Rebate u/s 87A for income ≤ ₹7 lakh · Standard deduction ₹75,000 (post July 2024 Budget).

Old Regime (optional)

Taxable income (₹)Rate
Up to 2,50,000Nil
2,50,001 – 5,00,0005%
5,00,001 – 10,00,00020%
Above 10,00,00030%

Unchanged across all three years.

Sources: Income Tax Department and ClearTax. For general awareness only — surcharge, cess, capital-gains rates and regime choice depend on your situation. Let us plan and file for you.

Which regime is right for you?

We run the old-vs-new comparison as part of tax planning — usually in ten minutes.

Plan My Taxes