Can I calculate tax if my income includes bonuses and variable pay?

Yes, you can calculate tax even if your income includes bonuses and variable pay. The calculator treats bonuses and incentives as part of your taxable salary and adds them to your annual income. You simply need to include them under the salary or special allowance fields. This ensures your tax estimate reflects your actual earnings instead of just your fixed monthly salary.

Is the income tax calculator useful before investing in tax-saving options?

Yes, the income tax calculator is useful before making tax-saving investments because it shows how much tax you owe before and after deductions. You can enter different investment amounts under sections like 80C or 80D and instantly see how your tax changes. This helps you invest only what is necessary instead of guessing or over-investing without understanding the actual benefit.

Can I use the calculator if I changed jobs during the financial year?

Yes, you can use the calculator even if you changed jobs during the financial year. You just need to add the total salary received from all employers for the year. The calculator does not depend on the number of employers; it only needs your combined annual income. This helps you avoid underestimating tax when multiple salary sources are involved.

Does the calculator include health and education cess automatically?

Yes, the income tax calculator includes health and education cess automatically in the final tax amount. After calculating tax based on slab rates, it adds the applicable cess to show your total tax liability. This prevents confusion about whether cess should be added separately and ensures the tax figure you see is closer to what you will actually pay while filing your return.

Can senior citizens use the same income tax calculator as regular taxpayers?

Yes, senior citizens can use the same income tax calculator as regular taxpayers by selecting the correct age group. The calculator applies higher basic exemption limits when you choose the senior citizen category under the old regime. This ensures the tax calculation reflects age-based benefits and does not apply standard slab limits meant for younger taxpayers.

Is the income tax calculator accurate for capital gains income?

Yes, the income tax calculator can estimate tax on capital gains if you enter the correct gain amount. It allows you to include short-term and long-term capital gains separately. However, since capital gains may be taxed at special rates, you should ensure you select the right category. This helps you avoid mixing regular income tax slabs with special capital gains tax rates.

Can I rely on the calculator to decide between old and new tax regimes?

Yes, you can rely on the calculator to compare old and new tax regimes because it calculates tax under both options using the same income details. You can clearly see how deductions affect the old regime and how lower slabs work in the new regime. This side-by-side comparison helps you make a practical decision instead of choosing a regime based on assumptions.

Does the income tax calculator replace filing an income tax return?

No, the income tax calculator does not replace filing an income tax return, but it helps you prepare for it. The calculator only estimates your tax liability based on the details you enter. You still need to file your return on the income tax portal with the correct income, deductions, and documents. The calculator simply makes the filing process easier and more predictable.

Is the income tax calculator accurate for FY 2026–27?

Yes, the income tax calculator is accurate for FY 2026–27 as long as you enter all your income details correctly. It applies the latest slab rates, exemptions, and deductions applicable for this financial year. By including salary, interest, capital gains, and other income, it provides a reliable estimate of your tax liability, helping you plan your finances without surprises.

Can I use an income tax calculator before filing ITR?

Yes, you can use an income tax calculator before filing your ITR to estimate your total tax liability. By entering your income, deductions, and exemptions, you can see how much tax you owe in advance. This helps you plan investments, check TDS adequacy, and avoid surprises during filing, making the entire ITR process smoother and more predictable.

Is RegisterKaro’s income tax calculator free to use?

Yes, RegisterKaro’s income tax calculator is completely free to use for everyone. You don’t need to sign up or pay any fees to calculate your tax. It allows you to quickly estimate your tax liability, compare old and new regimes, and plan deductions, all without any hidden charges, making it a convenient tool for salaried employees and other taxpayers alike.

Income Tax Calculator Online in India – FY 2026–27

Use RegisterKaro's free Income Tax Calculator to calculate income tax online under both old and new tax regimes. Get an instant and accurate tax estimate for FY 2026–27 (AY 2027–28) in just a few clicks.

Financial year

Age group

Income Tax Slab Rates

New Regime Slab Rates

Income Tax Slabs (Rs.)	Income Tax Rates
Up to 4 lakh	Nil
4 lakh to 8 lakh	5%
8 lakh to 12 lakh	10%
12 lakh to 16 lakh	15%
16 lakh to 20 lakh	20%
20 lakh to 24 lakh	25%
Above 24 lakh	30%

Old Regime Slab Rates

Income Tax Slabs (Rs.)	Income Tax Rates
Up to 2.5 lakh	Nil
2.5 lakh - 5 lakh	5%
5 lakh - 10 lakh	20%
Above 10 lakh	30%

* Slab rates vary for resident senior and super senior citizens.

Calculating your income tax can feel confusing with changing tax slabs, deductions, exemptions, and multiple income sources. RegisterKaro’s free Income Tax Calculator helps salaried individuals, self-employed professionals, and taxpayers calculate income tax online under both old and new tax regimes instantly for FY 2026–27 (AY 2027–28).

What is the Income Tax Calculator?

An income tax calculator is an easy online tool that helps you find out the exact amount of tax you need to pay based on the new income tax act rules. It takes your income details and calculates your total tax liability in a clear, understandable way.

An income tax calculator for AY 2027-28 allows you to estimate your tax for the financial year 2026-27 using updated tax rules. It also helps you compare different tax outcomes and select the option that benefits you the most. The tool is especially useful for people who find tax laws and government filing systems difficult to understand. It reflects the latest budget updates and supports better tax planning for future financial years.

Revised Income Tax Slabs Under New Regime for FY 2026–2027 (AY 2027–2028)

The government has notified income tax slab rates for FY 2026–27 under both the old and new tax regimes. These slabs help taxpayers estimate their tax liability more accurately.

When you use an income tax calculator in a new regime, the tool applies the latest slab rates automatically to calculate your tax. This simplifies the process and avoids manual errors.

A proper income tax calculation for old vs new comparison helps you decide which regime results in lower tax liability.

New Regime Income Tax Slabs (FY 2026–27)

The table below shows the applicable income tax slab rates under the new tax regime for individual taxpayers for FY 2026–27:

Income Tax Slabs (₹)	Income Tax Rate
Up to ₹4,00,000	Nil
₹4,00,001 – ₹8,00,000	5%
₹8,00,001 – ₹12,00,000	10%
₹12,00,001 – ₹16,00,000	15%
₹16,00,001 – ₹20,00,000	20%
₹20,00,001 – ₹24,00,000	25%
Above ₹24,00,000	30%

Note: Under the new regime, you do not pay any income tax on income up to ₹12 lakh because the applicable rebate applies. However, the rebate does not cover income taxed at special rates.

Old Regime Income Tax Slabs (Individuals Below 60 Years)

The table below shows the income tax slab rates applicable to resident individuals below 60 years of age under the old tax regime for FY 2026–27:

Income Tax Slabs (₹)	Income Tax Rate
Up to ₹2,50,000	Nil
₹2,50,001 – ₹5,00,000	5%
₹5,00,001 – ₹10,00,000	20%
Above ₹10,00,000	30%

Old Regime Income Tax Slabs (Resident Individuals Aged 60–80 Years)

The table below shows the income tax slab rates applicable to resident individuals aged between 60 and 80 years under the old tax regime for FY 2026–27:

Income Tax Slabs (₹)	Income Tax Rate
Up to ₹3,00,000	Nil
₹3,00,001 – ₹5,00,000	5%
₹5,00,001 – ₹10,00,000	20%
Above ₹10,00,000	30%

Old Regime Income Tax Slabs (Resident Individuals Above 80 Years)

The table below shows the income tax slab rates applicable to resident individuals above 80 years of age under the old tax regime for FY 2026–27:

Income Tax Slabs (₹)	Income Tax Rate
Up to ₹5,00,000	Nil
₹5,00,001 – ₹10,00,000	20%
Above ₹10,00,000	30%

Surcharge and Health & Education Cess

If your total income exceeds certain limits, a surcharge applies in addition to income tax:

10% of income tax if the total income is above ₹50 lakh and up to ₹1 crore
15% of income tax if the total income is above ₹1 crore and up to ₹2 crore
25% of income tax if the total income is above ₹2 crore and up to ₹5 crore
37% of income tax if the total income exceeds ₹5 crore

Note: Under the new regime, the highest surcharge rate has been reduced to 25%.

In addition, Health and Education Cess at 4% is charged on the total tax payable.

Rebate under Section 87A

The table below shows the income limits up to which taxpayers can claim a rebate under Section 87A for FY 2026–27 under both tax regimes:

Regime	Income Limit (₹)
Old Regime	₹5,00,000
New Regime	₹12,00,000

Note: From FY 2026–27, the rebate does not apply to income taxed at special rates. Rebate is also not applicable to long-term capital gains under Section 112A.

How to Use RegisterKaro’s Free Income Tax Calculator?

Using RegisterKaro’s Income Tax Calculator is simple and takes only a few minutes. Follow these steps to calculate income tax online and compare the old and new tax regimes:

Step 1: Select the financial year for which you want to calculate your tax.

Step 2: Choose your age group, as tax liability under the old regime depends on age.

Step 3: Click on Continue to proceed.

Step 4: Enter your salary before deductions such as HRA or LTA. If any exempt allowances apply, enter them in the relevant fields.

Step 5: Add other income details such as interest income, rental income, and home loan interest for rented or self-occupied property.

Step 6: If applicable, enter income from digital assets after reducing the cost of acquisition from the sale value.

Step 7: Click on Continue again.

Step 8: Enter eligible tax-saving investments and deductions under sections such as 80C, 80D, 80G, 80E, and 80TTA.

Step 9: Click on Calculate to view your tax liability and compare the results under both tax regimes.

Our online income tax calculator gives instant and accurate results, helping you plan your taxes efficiently for the selected financial year.

Income Tax Calculation Formula for FY 2026-27

You can calculate your income tax using a standard formula applied by most online income tax calculators.

Income Tax = (Taxable Income × Applicable Slab Rate) – Rebate (if any) + Surcharge (if applicable) + Health & Education Cess (4%)

Explanation:

Taxable Income: Subtract eligible exemptions and deductions under your chosen tax regime from the gross total income.
Basic Tax: Apply the applicable income tax slab rates to the taxable income.
Rebate (if applicable): Reduce tax under Section 87A for eligible taxpayers.
Add Surcharge: Apply a surcharge if your total income exceeds the specified limits.
Add Cess: Include 4% Health and Education Cess on the calculated tax.

By applying this formula correctly, you can estimate your total income tax liability with accuracy. RegisterKaro’s Income Tax Calculator automates this entire process, ensuring precise calculations based on the latest tax rules and slab rates.

Income Tax Calculation Old vs New Regime

When you calculate tax for FY 2025–26, you have two choices: the old tax or the new tax regime. To decide which one results in lower tax, you can perform an income tax calculation for the old vs the new. RegisterKaro’s free income tax calculator applies both methods instantly and shows you the difference.

Under the old regime, you can claim exemptions and deductions such as HRA, Section 80C, 80D, and more. Tax is calculated after reducing these eligible deductions from your total income.

Under the new regime, most exemptions and deductions are removed. Instead, you get lower slab rates. The new regime may be beneficial if you have fewer deductions.

A tax calculator computes tax under both regimes by:

Applying the respective slab rates,
Adjusting deductions under the old regime,
and showing the final tax liability for each.

By comparing the results, you can easily choose the regime with the lower tax burden before filing your return.

Calculation of Income Tax on Salary

Income from salary includes basic pay, HRA, special allowance, transport allowance, and other taxable allowances. You must first calculate your total salary income, subtract eligible exemptions and deductions, and then apply the applicable tax slabs. A salary income tax calculator automates this process and shows accurate results instantly.

You can also use RegisterKaro’s online income tax calculator to include income from other sources along with salary.

Let’s understand the calculation step by step with an example of Amit, who earns:

Basic Salary: ₹90,000 per month

HRA: ₹40,000 per month

Special Allowance: ₹18,000 per month

LTA: ₹24,000 annually

Rent Paid: ₹30,000 per month (Mumbai)

Savings account interest: ₹6,000

Fixed deposit interest: ₹14,000

Step 1: Calculate Gross Salary Income

Income from Salary = Basic Salary + HRA + Special Allowance + Transport Allowance + Other Allowances

Nature	Amount (₹)	Exemption/Deduction	Taxable Income (Old Regime)	Taxable Income (New Regime)
Basic Salary	10,80,000	–	10,80,000	10,80,000
HRA	4,80,000	2,40,000	2,40,000	4,80,000
Special Allowance	2,16,000	–	2,16,000	2,16,000
LTA	24,000	14,000	10,000	24,000
Standard Deduction	–	50,000	50,000	75,000
Gross Income from Salary	–	–	15,96,000	18,75,000

Step 2: Add Income from Other Sources

Amit also earns ₹6,000 from savings account interest and ₹14,000 from fixed deposits, making a total of ₹20,000.

Step 3: Claim Deductions (Old Regime Only)

To reduce your taxable income under the old regime, you can claim eligible deductions on investments and expenses:

Section	Maximum Limit	Investment Made	Amount Claimed (₹)
80C	1,50,000	PPF ₹40,000, ELSS ₹25,000, LIC ₹10,000, EPF ₹1,30,000	1,50,000
80D	25,000	Medical insurance ₹15,000	15,000
80TTA	10,000	Savings account interest ₹6,000	6,000
Total Deductions	–	–	1,71,000

Step 4: Calculate Gross Taxable Income

Once you’ve claimed deductions, you can determine the gross taxable income for both regimes:

Nature	Old Regime (₹)	New Regime (₹)
Income from Salary	15,96,000	18,75,000
Income from Other Sources	20,000	20,000
Gross Total Income	16,16,000	18,95,000
Total Deductions	1,71,000	Not applicable
Taxable Income	14,45,000	18,95,000
Total Tax Payable (including cess)	2,46,800	1,98,520

Under the old regime, Amit reduces taxable income through deductions but still pays higher tax (₹2,46,800) due to slab rates.

Under the new regime, Amit cannot claim most deductions, but lower slab rates result in a lower (₹1,98,520) tax liability.

Benefits of Using the Income Tax Calculator

Using an income tax calculator helps you estimate your tax liability quickly and accurately without manual calculations. RegisterKaro’s Income Tax Calculator is designed to simplify tax planning for individuals with different income sources.

Key benefits include:

Accurate tax estimation: It calculates tax based on the latest slab rates and rules for the selected financial year.
Easy comparison of regimes: You can compare tax liability under the old and new regimes in one place.
Time-saving: It gives instant results without complex formulas or paperwork.
Better tax planning: It helps you understand how deductions and exemptions affect your taxes.
User-friendly: You only need to enter basic income and deduction details to get results.
Error-free filing support: It reduces the chances of mistakes before filing your return.

By using RegisterKaro’s Free Income Tax Calculator, you can plan your taxes confidently and stay prepared for timely and accurate return filing.

Frequently Asked Questions

Yes, you can use the income tax calculator even if you earn from salary and interest income at the same time. The calculator allows you to enter your salary details along with income from savings accounts, fixed deposits, or other sources. It combines all income heads to compute your total taxable income and then applies the relevant slab rates. This helps you see a realistic tax figure instead of estimating only on salary.

Yes, the income tax calculator works differently for the new tax regime because it applies revised slab rates and ignores most deductions and exemptions. When you select the new regime, the calculator removes benefits like Section 80C and HRA exemption and calculates tax using the lower slab structure. This makes it easier to compare results with the old regime and decide which option gives you a lower tax liability.

The better tax regime for salaried employees depends on your income structure and deductions. The old regime benefits those who claim exemptions like HRA, 80C, and other deductions, while the new regime offers lower slab rates but minimal deductions. Using the income tax calculator allows you to compare both options side by side, so you can choose the regime that gives you the lowest tax liability.

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