Income Tax Calculator FY 2025-26 helps salaried employees, pensioners, and professionals quickly estimate their income tax liability under both old and new tax regimes. The Goodworld Income Tax Calculator is simple, fast, and easy to use.
Goodworld Income Tax Calculator
Choose Financial Year:
NEW REGIME TAX
Recommended
₹ 0
OLD REGIME TAX
₹ 0
IMPORTANT: INCOME TAX SLAB RATES
1. New Tax Regime (FY 2025-26 & 2026-27)
1. Up to ₹4,00,000Nil
2. ₹4,00,001 - ₹8,00,0005%
3. ₹8,00,001 - ₹12,00,00010%
4. ₹12,00,001 - ₹16,00,00015%
5. ₹16,00,001 - ₹20,00,00020%
6. ₹20,00,001 - ₹24,00,00025%
7. Above ₹24,00,00030%
2. Old Tax Regime
Disclaimer: These are estimated figures based on current laws. Users may check their income tax liability on the Income Tax Department's official website.
How to Use the Goodworld Tax Calculator
A brief guide to help your users navigate the tool.
Using our calculator is quick and hassle-free. Follow these simple steps:
Select Financial Year & Age: Start by choosing the relevant Financial Year (FY 2025-26 or FY 2026-27) and select your age group. Age is crucial for Old Regime calculations where senior citizens get higher exemptions.
Enter Income Details: Go to the “Income” tab and enter your Gross Salary, interest from savings or FDs, and any rental income. Don’t forget to include “Other Income” for miscellaneous earnings.
Claim Deductions: Switch to the “Deductions” tab to enter your investments under Section 80C (PPF, LIC, etc.), 80D(health insurance), 80TTA/B(Interest on FD/SB),(Senior citizens need not enter the amount of interest received on FD/SB separately here, as it is automatically calculated at the end under exemptions) 80CCD(NPS), 80G(Donations).
- Detailed descriptions are provided under each field to guide you.
Compare & Decide: View the real-time comparison between the Old and New Tax Regimes. We highlight the “Recommended” option that results in the lowest tax liability for you.
Get Detailed Summary: Click “Click to see details” on your preferred regime to see a full breakdown of the math, including Cess and Surcharge. You can then download this as a JPG image or share it directly via WhatsApp.
3. Who Can Use This Calculator & Scope
Who Is It For?
This calculator is specifically designed for Individuals (salaried or pensioners) and Resident Indians. It is perfect for:
Salaried employees.
Professionals with simple income sources.
Senior and Super Senior Citizens.
Who Is Not Covered?
This tool is not intended for:
Business Owners & Corporates: Those with complex business accounts, audits, or company-level tax liabilities.
Trusts, Firms, or LLPs.
What Incomes are NOT Covered?
Please note that this is a “Basic Income and Tax” tool. The following income types are not processed by this calculator:
Capital Gains: Any profit from the sale of property, shares, or mutual funds (Short-Term or Long-Term Capital Gains) is not included.
Business/Professional Profits: Complex business income requiring P&L statements.
Lottery or Gambling Winnings: These are subject to special flat tax rates.
Note to Users: Tax liability arising from heads not covered here (like Capital Gains) must be calculated separately as per the prevailing special tax rates. We recommend consulting a tax professional for complex filings.
Budget 2025: Major Changes & The Path Forward
The Union Budget 2025 brought a paradigm shift for individual taxpayers in India, reinforcing the government’s long-term vision of a simplified, exemption-free tax regime. The standout feature of this budget was the massive relief provided under the New Tax Regime, effectively raising the tax-free income threshold to ₹12 Lakh.
Key Changes in Budget 2025 vs. Earlier Years: The most significant change was the enhancement of the tax rebate under Section 87A. While previously the 100% rebate only applied to income up to ₹7 Lakh, it has now been expanded to ₹12 Lakh for those opting for the New Regime. Additionally, the Standard Deduction for salaried employees and pensioners was increased from ₹50,000 to ₹75,000 under the New Regime (while remaining at ₹50,000 for the Old Regime). The tax slabs were also rationalized, with the 30% peak rate now only kicking in for income exceeding ₹24 Lakh, compared to the earlier ₹15 Lakh threshold.
The Shift Toward the New Regime: The government’s strategy is clear: they are gradually making the New Tax Regime the “default” and more attractive choice by offering lower rates and higher rebates. By removing the need for complex documentation like rent receipts and investment proofs (80C/80D), the goal is to transition the majority of taxpayers to this streamlined system, eventually phasing out the Old Regime which relies heavily on deductions.
The Importance of Timely Filing: Filing your Income Tax Return (ITR) on time is no longer just about avoiding a ₹5,000 penalty. A timely ITR is a powerful financial document that serves as your income proof for home loans, credit cards, and visa applications. Over the years, the process has become incredibly simple. With pre-filled ITR forms that automatically pull data from your Bank and Form 26AS, what used to take days of manual calculation can now be completed in minutes. Our Goodworld Tax Calculator is designed to keep pace with this simplicity, giving you the clarity you need to file accurately and on time.
Example Income Tax Calculation for Income of ₹12,00,000 (FY 2025-26)
Let us calculate tax for an individual having taxable income of ₹12,00,000 under both regimes.
(Taxable income means income after standard deduction and other adjustments.)
Tax Calculation Under New Tax Regime
New Tax Regime Slabs (FY 2025-26)
| Income Slab | Tax Rate |
|---|---|
| ₹0 – ₹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% |
Step-by-Step Tax Calculation
For taxable income ₹12,00,000:
• Income up to ₹4,00,000 → Nil tax
• Next ₹4,00,000 @5% = ₹20,000
• Next ₹4,00,000 @10% = ₹40,000
Total tax before cess:
₹20,000 + ₹40,000 = ₹60,000
Health & Education Cess @4% = ₹2,400
Total Tax Before Rebate
₹62,400
Applying Section 87A Rebate
Under Budget 2025 provisions, taxpayers opting for the New Regime get rebate up to taxable income of ₹12 lakh.
So:
Tax payable before rebate = ₹62,400
Less: Section 87A rebate = ₹62,400
Final Tax Payable (New Regime)
✅ ₹0
Thus, slab tax is calculated, but rebate reduces final tax to zero.
Tax Calculation Under Old Regime
Old regime slabs:
| Income Slab | 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% |
Calculation:
• Up to ₹2,50,000 → Nil
• Next ₹2,50,000 @5% = ₹12,500
• Next ₹5,00,000 @20% = ₹1,00,000
• Remaining ₹2,00,000 @30% = ₹60,000
Total tax = ₹1,72,500
Cess @4% = ₹6,900
Final Tax Payable (Old Regime)
₹1,79,400
Comparison
| Regime | Tax Payable |
|---|---|
| New Regime | ₹0 |
| Old Regime | ₹1,79,400 |
✅ New regime saves ₹1,79,400.
If you want to check the calculations with Income Tax department’s website, here is the link to their Income tax calculator-
Link to Income Tax department’s I.T.calculator
Please give your comments in the comment field.
Your comments and feedback are valuable to us and will help us in keep on improving further.
If you find any mistake or anomaly in the calculator, please feel free to intimate us and we will try to address it in the next version.
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