Author: sufi

For FY 2026-27, the new tax regime uses seven income-tax slabs, starting with 0% up to ₹4 lakh and reaching 30% on income above ₹24 lakh. The slab rates are 5%, 10%, 15%, 20%, 25% and 30% across the higher income ranges. This structure remains unchanged from FY 2025-26, as confirmed by the Union Budget 2026. FY 2026-27 covers income earned from 1 April 2026 to 31 March 2027, while the corresponding assessment year is AY 2027-28. This guide explains the slab rates, Section 87A rebate, standard deduction, tax calculation and the points that can change the final tax payable.…

Introduction The new regime tax slab for FY 2024-25 starts with a Nil tax rate on income up to ₹3,00,000 and then applies rates of 5%, 10%, 15%, 20%, and 30% across higher income ranges. These slabs apply to income earned from 1 April 2024 to 31 March 2025, with the corresponding assessment year being AY 2025-26. The new regime became the default tax regime for eligible taxpayers, although eligible taxpayers can generally opt for the old regime subject to the applicable rules. This guide explains the slab rates, how tax is calculated, the ₹75,000 standard deduction, Section 87A rebate,…

The new tax regime slabs for FY 2025-26 start with nil tax up to ₹4 lakh, followed by rates of 5%, 10%, 15%, 20%, 25% and 30% across progressively higher income bands. Budget 2025 also increased the Section 87A rebate for eligible resident individuals, so a taxpayer with total income up to ₹12 lakh can potentially have the entire slab-based tax reduced to zero, subject to the applicable conditions. For eligible salaried taxpayers, the ₹75,000 standard deduction can reduce ₹12.75 lakh of salary to ₹12 lakh of taxable income before the rebate is considered. This guide explains the slab rates,…