Income Tax Calculator AY 2026-27

Compare your tax under the new and old regimes for FY 2025-26, and see whether your 80C deductions (including LIC premiums) make the old regime worth it.

Gross annual income: ₹15,00,000

₹3L₹50L

Are you salaried?

Age group

Old-regime deductions (ignored in new regime)

Section 80C (incl. LIC, EPF, PPF, ELSS) max ₹1.5L

Section 80D (health insurance)

Home loan interest, Sec 24(b) max ₹2L

NPS 80CCD(1B) max ₹50,000

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New regime · pay ₹97,500

Saves ₹1,05,300 vs the other regime.

New regime (default)

Lower tax

Total tax payable

₹97,500

Effective rate 6.5% of income

Taxable income₹14,25,000

Tax before rebate₹93,750

Health & education cess (4%)₹3,750

No 80C/80D/HRA. Income up to ₹12L is tax-free via 87A rebate.

Old regime

Total tax payable

₹2,02,800

Effective rate 13.5% of income

Taxable income₹12,75,000

Tax before rebate₹1,95,000

Health & education cess (4%)₹7,800

Allows 80C, 80D, HRA, home loan and more. Rebate up to ₹5L income.

What your 80C / LIC premiums do

Your deductions (including LIC premiums under 80C) cut your old-regime tax by ₹54,600. Even so, the new regime is still cheaper here, so 80C does not save you tax.

Planning your LIC premiums for tax?

Get advice on whether the old regime plus LIC 80C savings is right for your income.

Tax rules summary, FY 2025-26 (AY 2026-27)

The new regime is the default. The old regime is optional.

New regime slabs (default)

Up to ₹4,00,000Nil

₹4,00,001 to ₹8,00,0005%

₹8,00,001 to ₹12,00,00010%

₹12,00,001 to ₹16,00,00015%

₹16,00,001 to ₹20,00,00020%

₹20,00,001 to ₹24,00,00025%

Above ₹24,00,00030%

Standard deduction ₹75,000 for salaried.
Section 87A rebate makes income up to ₹12,00,000 tax-free.
No 80C, 80D, HRA, home loan or other deductions.

Old regime slabs (below 60)

Up to ₹2,50,000Nil

₹2,50,001 to ₹5,00,0005%

₹5,00,001 to ₹10,00,00020%

Above ₹10,00,00030%

Standard deduction ₹50,000 for salaried.
Section 87A rebate for taxable income up to ₹5,00,000.
Allows 80C (₹1.5L, incl. LIC premiums), 80D, HRA, home loan interest and more.
Higher basic exemption for seniors: ₹3L (60 to 80), ₹5L (above 80).

A 4% health and education cess applies on tax in both regimes. Surcharge applies above ₹50 lakh income.

Indicative calculation for AY 2026-27 (FY 2025-26). It simplifies surcharge marginal relief and excludes capital-gains special rates and exempt allowances like HRA actuals. Verify with a tax professional before filing. PolicyBros is not affiliated with LIC or the Income Tax Department.