Tax Rates & Slabs
Individual slab rates, rebate, surcharge and cess for FY 2025-26 (AY 2026-27), as revised by Union Budget 2025.
New Tax Regime (default, Section 115BAC)
| Taxable income slab | 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% |
Standard deduction: ₹75,000 (salary/pension). Section 87A rebate: full rebate up to ₹60,000, making tax nil for taxable income up to ₹12,00,000 (~₹12,75,000 gross salary after standard deduction). Same rates apply regardless of age — no separate senior citizen slab under the new regime.
Old Tax Regime
| Age group | Up to | 5% | 20% | 30% |
|---|---|---|---|---|
| Below 60 years | ₹2,50,000 Nil | ₹2.5L–₹5L | ₹5L–₹10L | Above ₹10L |
| Senior citizen (60–80) | ₹3,00,000 Nil | ₹3L–₹5L | ₹5L–₹10L | Above ₹10L |
| Super senior (80+) | ₹5,00,000 Nil | — | ₹5L–₹10L | Above ₹10L |
Standard deduction: ₹50,000 (salary/pension). Section 87A rebate: up to ₹12,500, making tax nil for taxable income up to ₹5,00,000. Chapter VI-A deductions (80C, 80D, HRA, home loan interest, etc.) remain available only under this regime.
Surcharge (both regimes, on tax before cess)
| Taxable income | Old regime | New regime |
|---|---|---|
| ₹50 lakh – ₹1 crore | 10% | 10% |
| ₹1 crore – ₹2 crore | 15% | 15% |
| ₹2 crore – ₹5 crore | 25% | 25% |
| Above ₹5 crore | 37% | 25% (capped) |
Health & education cess of 4% applies on tax plus surcharge under both regimes. Marginal relief provisions apply near each surcharge threshold and near the rebate cut-off — not reflected in the table above.
