Income Tax Calculator: According to the Budget 2025, no income tax is payable up to an annual income of 12 lakh
Income Tax Calculator: Union Finance Minister Nirmala Sitharaman, in her eighth budget under Prime Minister Narendra Modi-led NDA government, announced sweeping changes in personal income tax, with a crucial revamp of income tax slabs and income tax rates under the new income tax regime. According to the Budget 2025-26, no income tax is payable up to an annual income of 12 lakh, that is, tax rebate will be provided to people earning upto Rs 12 lakh per annum. The tax slabs have been changed with those falling in Rs 4-7 lakh income bracket requiring to pay 5 per cent as tax while those falling in Rs 8-12 lakh and Rs 12-16 lakh to pay 10 and 15 per cent of their income as tax respectively.
| Annual Income | Tax rate |
| Rs 0-4 lakh | NIL |
| Rs 4-8 lakh | 5 per cent |
| Rs 8-12 lakh | 10 per cent |
| Rs 12-16 lakh | 15 per cent |
| Rs 16-20 lakh | 20 per cent |
| Rs 20-24 lakh | 25 per cent |
| Above Rs 24 lakh | 30 percent |
In the Union Budget 2024-25, presented by Finance Minister Nirmala Sitharaman soon after the NDA was back in the government for the third consecutive term under Modi, the new tax regime got better for the middle class with the increase in standard deduction to Rs 75,000 from Rs 50,000. The tax slabs were also tweaked with those falling in Rs 3-7 lakh income bracket requiring to pay 5 per cent as tax while those falling in Rs 7-10 lakh and Rs 10-12 lakh to pay 10 and 15 per cent of their income as tax respectively.
