Budget 2025 Tax Calculator - New Regime and Old Regime Comparision


 Income and Tax Calculator According to budget 2025 

Tax Calculator

Income Tax Calculator (2025 Budget)



Income and Tax Calculator According to budget 2025

The Indian tax system offers two options for taxpayers: the old tax regime and the new tax regime. Here’s a comparison of the two, keeping in mind the latest 2025 budget changes.



Old Tax Regime

Tax Slabs

  • Income up to Rs 2,50,000: No tax
  • Rs 2,50,001 to Rs 5,00,000: 5%
  • Rs 5,00,001 to Rs 10,00,000: 20%
  • Above Rs 10,00,000: 30%

Key Features

Deductions & Exemptions: Allows for various deductions under Section 80C, 80D, HRA, etc., significantly reducing taxable income.
Higher Tax Rates: Generally, higher tax rates compared to the new regime.
Best For: Individuals who claim multiple deductions and exemptions.



New Tax Regime

Tax Slabs

  • Income up to Rs 4,00,000: No Tax
  • Rs 4,00,001 to Rs 8,00,000: 5%
  • Rs 8,00,001 to Rs 12,00,000: 10%
  • Rs 12,00,001 to Rs 16,00,000: 15%
  • Rs 16,00,001 to Rs 20,00,000: 20%
  • Rs 20,00,001 to Rs 24,00,000: 25%
  • Above Rs 24,00,000: 30%

Key Features

Lower Tax Rates: More attractive tax rates across different income slabs.
Limited Deductions: Does not allow most exemptions available in the old regime.
Best For: Individuals with simpler finances and fewer deductions.



Comparison at a Glance

FeatureOld Tax RegimeNew Tax Regime
Tax RatesHigherLower
DeductionsAvailable under multiple sectionsVery limited
SimplicityMore complex due to exemptionsEasier to file
Best ForIndividuals with multiple deductionsThose who don’t claim deductions


Which Regime to Choose?

🔹 For taxpayers with multiple deductions: The old regime may be more beneficial due to tax-saving options.
🔹 For those with simpler finances: The new regime might be preferable for its lower rates and ease of filing.

Note: The information provided here is based on the 2025 budget announcements. Always consult a financial advisor or refer to the official Income Tax Department website for the most up-to-date information.

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