Income Tax Calculator: Updated for FY 2024–25
Income tax plays a vital role in personal finance and government revenue collection in India. With the Union Budget 2023 making the new tax regime the default system starting FY 2024–25, taxpayers now need clarity more than ever. Caltoo’s Income Tax Calculator helps individuals, freelancers, and businesses calculate their tax liability accurately in seconds.
What Changed in FY 2024–25?
The Government of India announced that from FY 2024–25, the new regime will be the default tax regime. Taxpayers can still opt for the old regime if they find it more beneficial. The standard deduction of ₹50,000 has also been extended to salaried individuals and pensioners under the new regime.
Old vs New Tax Regime
The key differences remain the same:
- Old Regime: Higher slabs but allows exemptions and deductions like Section 80C, 80D, HRA, LTA, etc.
- New Regime: Lower slabs, fewer deductions, simpler compliance.
Income Tax Slabs for FY 2024–25
Old Regime:
- ₹0 – ₹2.5 lakh: No Tax
- ₹2.5 – ₹5 lakh: 5%
- ₹5 – ₹10 lakh: 20%
- Above ₹10 lakh: 30%
New Regime (Default):
- ₹0 – ₹3 lakh: No Tax
- ₹3 – ₹6 lakh: 5%
- ₹6 – ₹9 lakh: 10%
- ₹9 – ₹12 lakh: 15%
- ₹12 – ₹15 lakh: 20%
- Above ₹15 lakh: 30%
Additionally, a 4% Health and Education Cess is applicable on the total tax liability in both regimes.
Deductions in FY 2024–25
The old regime continues to provide deductions under Section 80C, 80D, 80E, etc. The new regime provides limited deductions but includes the standard deduction of ₹50,000 for salaried individuals.
How to Use the Calculator
- Enter your annual gross income.
- Select tax regime (old or new).
- Provide deductions (only relevant for old regime).
- Get instant results: taxable income, tax payable, and net income.
Benefits of Using Caltoo’s Calculator
- Accurate slab-based calculation for both regimes.
- Updated for FY 2024–25 Union Budget.
- Includes cess automatically.
- Helps compare old vs new instantly.
Example Calculation
Suppose your annual salary is ₹12,00,000 and you invest ₹1.5 lakh under Section 80C with medical insurance of ₹25,000 under Section 80D. Under the old regime, your taxable income would be ₹10.25 lakh, and tax payable would be around ₹1.16 lakh including cess. Under the new regime, your taxable income would be ₹12 lakh (since no 80C or 80D is considered), and tax would be calculated as per the revised slabs. The calculator helps you choose the better option instantly.
Conclusion
From FY 2024–25, the new regime is the default, but the old regime is still available. Using Caltoo’s Income Tax Calculator ensures you are aware of both scenarios and can make a smart decision. Whether you are salaried, a freelancer, or a small business owner, this tool saves time, avoids errors, and empowers better financial planning.