Income Tax on ₹10L to ₹25L Salary (FY 2025-26 & FY 2026-27)
Whether you are filing your returns for FY 2025-26 or doing forward tax planning for FY 2026-27, the tax slabs remain identical. The new tax regime is the default, offering a massive ₹75,000 standard deduction and making salaries up to ₹12.75 lakh virtually tax-free.
Quick Reference: Tax Liability by Salary Slab
Below is a quick look at the total tax you will pay (including 4% cess) under the New Regime vs Old Regime (assuming only the standard deduction, no other 80C/HRA benefits).
| Gross Salary | New Regime Tax | Old Regime Tax |
|---|---|---|
| ₹10,00,000 | ₹0 | ₹1,01,400 |
| ₹12,00,000 | ₹0 | ₹1,43,000 |
| ₹15,00,000 | ₹1,08,160 | ₹2,57,400 |
| ₹20,00,000 | ₹2,12,160 | ₹4,13,400 |
| ₹25,00,000 | ₹3,68,160 | ₹5,69,400 |
Deep Dive: ₹10L–₹12L Bracket (The Zero Tax Zone)
₹12 Lakh Salary = ₹0 Tax.
12 लाख की सैलरी पर नई व्यवस्था में टैक्स शून्य है।
Under the new regime, any taxable income up to ₹12 lakh is fully exempt due to the Section 87A rebate (up to ₹60,000). Because you also get a ₹75,000 standard deduction, a gross salary of ₹12.75 Lakh incurs zero income tax. You do not need to invest in PPF, ELSS, or show rent receipts.
Deep Dive: ₹15L Bracket (The Tipping Point)
Once your gross salary crosses ₹12.75 lakh, you lose the 87A rebate entirely. At a ₹15 Lakh salary, your taxable income (after standard deduction) is ₹14.25 Lakh.
- New Regime Tax: ₹1,08,160 (₹1,04,000 + 4% cess)
- Old Regime Tax: ₹2,57,400 (Assuming no 80C/HRA)
- Verdict: The new regime saves you roughly ₹1.5L. 15 लाख पर नई टैक्स व्यवस्था से लगभग 1.5 लाख रुपये की बचत होती है।
Deep Dive: ₹20L to ₹25L Bracket (High Income Strategies)
At higher brackets, the new regime's relaxed slabs shine.
₹20 Lakh Salary: Tax under the new regime is ₹2,12,160. Under the old regime (with no deductions), it is ₹4,13,400. To make the old regime better, you would need to show over ₹4.5L in HRA, 80C, and home loan interest.
₹25 Lakh Salary: Tax under the new regime is ₹3,68,160. Under the old regime, it is ₹5,69,400. The gap widens to nearly ₹2L in favor of the new regime.