Explore official CBDT income tax slab rates for AY 2026-27 (FY 2025-26). Comprehensive guide to New Regime slabs, Old Regime rates for senior citizens, standard deduction of ₹75,000, Section 87A rebate, and salary calculation tables.
For Assessment Year 2026-27 (relevant to income earned in Financial Year 2025-26), the Central Board of Direct Taxes (CBDT) continues to promote the New Tax Regime (Section 115BAC) as the default tax system while preserving the Old Tax Regime as an optional alternative. Under the Finance Act, the New Tax Regime features expanded slab thresholds, an increased standard deduction of ₹75,000 for salaried employees and pensioners, and enhanced Section 87A rebate benefits, allowing individual taxpayers with annual taxable salary income up to ₹7,75,000 to pay zero income tax.
The New Tax Regime under Section 115BAC applies uniformly to all individual taxpayers, regardless of age (whether below 60, senior citizens, or super senior citizens). The revised progressive slab structure delivers substantial tax savings across lower and middle-income brackets.
| Taxable Income Slab (INR) | Income Tax Rate | Effective Tax Calculation |
|---|---|---|
| Up to ₹3,00,000 | 0% (Nil) | Nil |
| ₹3,00,001 to ₹7,00,000 | 5% | 5% on income above ₹3,00,000 (Covered by Section 87A rebate) |
| ₹7,00,001 to ₹10,00,000 | 10% | ₹20,000 + 10% on income above ₹7,00,000 |
| ₹10,00,001 to ₹12,00,000 | 15% | ₹50,000 + 15% on income above ₹10,00,000 |
| ₹12,00,001 to ₹15,00,000 | 20% | ₹80,000 + 20% on income above ₹12,00,000 |
| Above ₹15,00,000 | 30% | ₹1,40,000 + 30% on income above ₹15,00,000 |
Upload Form 16 PDF or financial statements. ITRAgent auto-compares Old vs. New regime and generates CBDT-compliant ITR JSON for direct upload.
The Old Tax Regime remains attractive for taxpayers who claim substantial exemptions and Chapter VI-A deductions (e.g. HRA, 80C, 80D, home loan interest u/s 24b). Unlike the New Regime, the Old Regime retains age-stratified basic exemption limits.
| Taxable Income Bracket (INR) | Normal (< 60 Years) | Senior Citizens (60–80 Yrs) | Super Senior (> 80 Yrs) |
|---|---|---|---|
| Up to ₹2,50,000 | 0% (Nil) | 0% (Nil) | 0% (Nil) |
| ₹2,50,001 to ₹3,00,000 | 5% | 0% (Nil) | 0% (Nil) |
| ₹3,00,001 to ₹5,00,000 | 5% | 5% | 0% (Nil) |
| ₹5,00,001 to ₹10,00,000 | 20% | 20% | 20% |
| Above ₹10,00,000 | 30% | 30% | 30% |
Beyond basic income tax slabs, your total tax liability is finalized after applying statutory standard deductions, applicable surcharge rates for high net-worth individuals (HNIs), and the mandatory 4% Health and Education Cess.
The comparative matrix below shows net tax payable under the New Tax Regime (with ₹75,000 standard deduction and 4% cess) across typical salary packages:
| Gross Salary (INR) | Standard Deduction | Taxable Income | Income Tax + Cess (New Regime) |
|---|---|---|---|
| ₹7,50,000 | ₹75,000 | ₹6,75,000 | ₹0 (Full 87A Rebate) |
| ₹7,75,000 | ₹75,000 | ₹7,00,000 | ₹0 (Full 87A Rebate) |
| ₹10,00,000 | ₹75,000 | ₹9,25,000 | ₹44,200 |
| ₹12,00,000 | ₹75,000 | ₹11,25,000 | ₹71,500 |
| ₹15,00,000 | ₹75,000 | ₹14,25,000 | ₹1,30,000 |
| ₹20,00,000 | ₹75,000 | ₹19,25,000 | ₹2,78,200 |
| ₹30,00,000 | ₹75,000 | ₹29,25,000 | ₹5,90,200 |
Master the Income Tax Return JSON utility for AY 2026-27. Learn how to download pre-filled JSON from incometax.gov.in, convert Form 16 PDF to CBDT-compliant JSON online, and resolve schema validation errors.
Master Assessment Year 2026-27 income tax return filing. In-depth eligibility matrix for ITR-1 vs ITR-2, 4-way AIS/26AS reconciliation, Section 87A rebate marginal relief, Section 234F penalties, and direct JSON portal upload guide.