Income Tax Slabs 2026: Complete Guide for Salaried Employees
July 2026
Understanding income tax slabs is essential for every salaried employee in India. The government has made the new tax regime the default from FY 2025-26. Here is everything you need to know about income tax slabs for 2026.
New Tax Regime Slabs (FY 2025-26, Default)
The new tax regime offers lower tax rates but no major deductions or exemptions. These are the current slabs:
| Income Slab | Tax Rate |
|---|---|
| Up to ?3,00,000 | Nil |
| ?3,00,001 to ?7,00,000 | 5% |
| ?7,00,001 to ?10,00,000 | 10% |
| ?10,00,001 to ?12,00,000 | 15% |
| ?12,00,001 to ?15,00,000 | 20% |
| Above ?15,00,000 | 30% |
Standard deduction of ?50,000 is available. Surcharge applies above ?50 lakhs.
Old Tax Regime Slabs
If you have significant deductions (HRA, 80C, home loan), the old regime may still benefit you:
| Income Slab | Tax Rate |
|---|---|
| Up to ?2,50,000 | Nil |
| ?2,50,001 to ?5,00,000 | 5% |
| ?5,00,001 to ?10,00,000 | 20% |
| Above ?10,00,000 | 30% |
Section 80C Deductions (Old Regime)
You can claim up to ?1.5 lakhs under 80C for: PPF, EPF, ELSS, life insurance premiums, tax-saving FDs, NSC, and children tuition fees.
Which Regime Should You Choose?
Use our Income Tax Calculator to compare both regimes. Enter your salary, HRA, and investments to see which regime saves you more tax.
Try the tool: Income Tax Calculator