What is the Income Tax Calculator?
The FinanceDeck Income Tax Calculator estimates your tax liability under the new regime for FY 2025-26 using the latest slab rates announced in the Union Budget. It automatically applies the ₹75,000 standard deduction for salaried and pensioner taxpayers, the Section 87A rebate up to ₹12 lakh taxable income, and the 4% health & education cess on the final tax.
Use this tool at the start of the year to plan your take-home, at appraisal time to see the impact of a raise, or before 31 March to check whether any last-minute investment could still change your outcome. Under the new regime, tax planning is simpler — most deductions no longer apply — but knowing the exact liability still matters.
How does it work?
The calculator subtracts the ₹75,000 standard deduction from your gross income to arrive at taxable income, then applies the slab rates: 0% up to ₹4 lakh, 5% up to ₹8 lakh, 10% up to ₹12 lakh, 15% up to ₹16 lakh, 20% up to ₹20 lakh, 25% up to ₹24 lakh, and 30% above ₹24 lakh.
If taxable income is at or below ₹12 lakh, the full tax is refunded under Section 87A, effectively making it zero. Otherwise, the calculator adds 4% health & education cess to the tax to give the final payable amount.
Tax = Σ (Slab bracket × Rate) + 4% cess; Rebate 87A if taxable ≤ ₹12LExample
Suppose your annual gross salary is ₹15,00,000. After the ₹75,000 standard deduction, taxable income is ₹14,25,000.
Slab tax works out to ₹87,500. Cess adds another ₹3,500, so total tax payable is approximately ₹91,000 — leaving a take-home of roughly ₹14.09 lakh. Bumping gross to ₹20 lakh raises the tax to about ₹2.16 lakh, showing how the higher slabs bite.
Benefits
- ✓Uses the latest FY 2025-26 slabs
- ✓Handles rebate 87A automatically
- ✓Instantly shows take-home income
- ✓Great for salary negotiations
- ✓No login, no data stored
Frequently Asked Questions
Does this cover the old regime?
This calculator focuses on the new regime, which is now the default and beneficial for most salaried people who don't claim large deductions. Compare with the old regime separately if you have significant 80C, 80D and HRA claims.
Is the standard deduction ₹75,000?
Yes — the new regime standard deduction was raised to ₹75,000 in Budget 2024. Family pensioners get ₹25,000.
What is the 87A rebate?
Under the new regime, taxpayers with taxable income up to ₹12 lakh get a rebate that reduces their tax to zero.
Does it include capital gains?
No. This tool covers slab-rate income only. Capital gains from equity or property have separate flat rates (12.5% LTCG / 20% STCG for equity).
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