India Income Tax Computation Engine
OptiTax Engine
Financial Year
FY 2026–27 · AY 2027–28
💰 Income Details STEP 1 OF 2
Enter all sources of annual income in Indian Rupees (₹). Include all salary components and other income.
₹
ℹFixed annual basic salary plus Dearness Allowance. Forms the base for EPF, gratuity, HRA and standard deduction calculations. Usually 40–50% of CTC.
House Rent Allowance
₹
ℹTotal HRA component received from employer during the financial year. Taxable to extent not exempt.
ℹMetro cities: 50% of Basic for HRA. Non-metro cities: 40% of Basic. Affects exemption computation.
🧮 HRA Exemption Auto-Calculator
₹
₹
₹
✅ Eligible HRA Exemption (Annual)
Least of: Actual HRA · 50%/40% of Annual Basic · Annual Rent − 10% of Annual Basic
₹0
Other Salary Components
₹
ℹFully taxable allowance paid to bridge the CTC gap above basic. Most common salary component. No exemption in either regime.
₹
ℹLTA received for travel within India. Exemption available in Old Regime for actual airfare/rail fare (2 journeys in a 4-year block cycle).
₹
⚠Updated — Finance Act 2025: Children Education Allowance exempt limit revised to ₹3,000/month per child (max 2 children) = ₹72,000/year. Hostel allowance exempt limit also revised to ₹3,000/month per child = ₹72,000/year additionally. Previously ₹100 and ₹300/month respectively under the old Act. Old Regime only. Enter total CEA received from employer.
₹
ℹAnnual bonus, incentive pay, and performance-linked variable pay. Fully taxable as salary income in both Old and New regimes.
₹
ℹIncludes uniform allowance, telephone/internet reimbursement (taxable portion), fuel allowance, or other taxable perquisites. Meal coupons / food allowance: exempt up to ₹200/meal (2 meals/day) — revised from ₹50/meal under Finance Act 2025. Any amount above ₹200/meal is taxable and should be included here.
₹
ℹBank interest (savings/FD/RD), rental income net of municipal tax, dividends received, freelance/consulting income, or any other non-salary taxable income.
🛡️ Deductions OLD REGIME ONLY
These deductions apply only to the Old Regime. New Regime offers a flat ₹75,000 standard deduction with no itemised deductions.
₹
ℹInvestments qualifying: EPF/VPF, PPF, ELSS mutual funds, NSC, LIC premium, 5-yr bank/post FD, home loan principal repayment, Sukanya Samriddhi, tuition fees. Capped at ₹1.5 lakh.
₹
ℹMediclaim premium for self/spouse/children (₹25,000) + parents (₹25,000 or ₹50,000 if senior). Preventive health check-up ₹5,000 included. Max ₹75,000 total.
₹
⚠Self-occupied property: max ₹2 lakh deductible. Let-out property: full interest deductible but set-off of losses against other income capped at ₹2 lakh per year.
₹
ℹAdditional NPS Tier-1 contribution beyond the 80C limit. Extra deduction up to ₹50,000 per year — effectively reducing tax by ₹15,000 for 30% slab taxpayers.
₹
✓Use the HRA Auto-Calculator above to fill this automatically. Minimum of: (a) Actual HRA received, (b) 50%/40% of Basic, (c) Rent paid − 10% of Basic.
₹
ℹActual fare for domestic travel (economy airfare or AC rail) for 2 journeys in the 4-year block. Old Regime only. Must be supported by travel bills.
₹
ℹSavings account interest deduction: up to ₹10,000 (Section 80TTA, below 60 yrs) or up to ₹50,000 for senior citizens on all bank/post office interest (Section 80TTB).
₹
ℹ50% or 100% deduction on donations to PM Relief Fund, approved charities, educational institutions, etc. Subject to qualifying limits (typically 10% of adjusted gross income).
Other Deductions
₹
ℹInclude any unlisted deductions: 80CCC (pension fund annuity), 80U / 80DD (disability: ₹75,000 or ₹1.25L for severe), 80E (education loan interest — no cap, 8 yrs), 80EEA (affordable housing loan interest — ₹1.5L additional), 80RRB (royalty income), 80QQB (author royalty). Always maintain supporting documentation.
🧮
Enter income details to begin
Fill in your salary components and deductions on the left, then click "Calculate Tax Liability" to see a full Old vs New regime comparison — including slab breakdown, effective rate, and personalised recommendation for FY 2026–27.
📊 Tax Results FY 2026–27
Old Regime vs New Regime (Budget 2025) · AY 2027–28
Old Regime
₹0
Eff. Rate: 0%
New Regime (Default)
₹0
Eff. Rate: 0%
| Component | Old Regime | New Regime |
|---|
Saved Calculations
Loading…📂
No history yet
Run a calculation and save it to see history here.