Income Tax Rules 2026 · Notified March 20, 2026
Old vs New Regime
Tax Calculator
Find out which regime saves you more under the updated 2026 rules. FY 2026–27.
1
Your Income
Total cost to company before any deductions
₹30,00,000 (30 lakhs)
Typically 40–50%. New labour codes require wages ≥ 50%.
Basic = ₹15,00,000 (15 lakhs) · Monthly ₹1,25,000
2
House Rent Allowance (HRA)
Enter ₹0 if you own your home or don't pay rent
Annual rent = ₹9,00,000 (9 lakhs)
Your HRA exemption (annual)₹7,50,000 (7.50 lakhs)
Least of: HRA received, rent − 10% salary, 50%/40% of salary. Old regime only.
3
Salary Exemptions (Old Regime)
Children (max 2)
Education: ₹3,000/month/child (was ₹100)
₹72,000/yr
Children in hostel
Hostel: ₹9,000/month/child (was ₹300)
₹2,16,000/yr
Meal vouchers
₹200/meal × 2 meals × 22 days = ₹8,800/mo. Old regime only.
₹1,05,600/yr
Festival gifts
Tax-free up to ₹15,000/year (was ₹5,000)
₹15,000/yr
4
Deductions (Old Regime)
80C — EPF + PPF + ELSS + LIC
Max ₹1,50,000
Max limit
80CCD(1B) — NPS self contribution
Max ₹50,000 (over and above 80C)
Max limit
80CCD(2) — NPS employer contribution
Up to 14% of basic. Works in BOTH regimes.
₹1,50,000 (1.50 lakhs)
80D — Health insurance
Self ₹25k + Parents ₹25k (₹50k if senior)
₹50,000 (50 thousand)
Sec 24b — Home loan interest
Max ₹2,00,000 (self-occupied)
80E — Education loan interest
No cap, up to 8 years
80TTA — Savings account interest
Max ₹10,000
₹5,000 (5 thousand)
80CCD(2) employer NPS is one of the few deductions that works in the new regime too. It's deducted from taxable income in both regimes.