Tax-Saving tips for salaries of ₹15 lakh, ₹20 lakh, and ₹30 lakh – Check the details
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In the Union Budget 2025-26, significant revisions have been made to the income tax structure under the New Tax Regime (NTR) to provide relief to taxpayers. The rebate under the NTR has been increased to ₹60,000 for total income up to ₹12 lakh, up from the previous ₹25,000 for income up to ₹7 lakh. The Old Tax Regime (OTR) remains unchanged, offering a rebate of ₹12,500 for total income up to ₹5 lakh.
Revised Income Tax Slabs under the New Tax Regime:
Income Range (₹) Tax Rate
0 - 4,00,000 Nil
4,00,001 - 8,00,000 5%
8,00,001 - 12,00,000 10%
12,00,001 - 16,00,000 15%
16,00,001 - 20,00,000 20%
20,00,001 - 24,00,000 25%
Above 24,00,000 30%
Additionally, the standard deduction has been increased from ₹50,000 to ₹75,000.
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Tax Calculations for Different Income Levels:
Annual Income: ₹15,00,000
New Tax Regime:
Gross Income: ₹15,00,000
Standard Deduction: ₹75,000
Taxable Income: ₹14,25,000
Tax Calculation:
0 - 4,00,000: Nil
4,00,001 - 8,00,000: 5% of ₹4,00,000 = ₹20,000
8,00,001 - 12,00,000: 10% of ₹4,00,000 = ₹40,000
12,00,001 - 14,25,000: 15% of ₹2,25,000 = ₹33,750
Total Tax: ₹20,000 + ₹40,000 + ₹33,750 = ₹93,750
Cess (4%): ₹3,750
Total Tax Liability: ₹97,500
Old Tax Regime:
Gross Income: ₹15,00,000
Deductions:
Standard Deduction: ₹50,000
Section 80C: ₹1,50,000
Section 80D: ₹1,00,000
Home Loan Interest (Section 24B): ₹2,00,000
Total Deductions: ₹5,00,000
Taxable Income: ₹10,00,000
Tax Calculation:
0 - 2,50,000: Nil
2,50,001 - 5,00,000: 5% of ₹2,50,000 = ₹12,500
5,00,001 - 10,00,000: 20% of ₹5,00,000 = ₹1,00,000
Total Tax: ₹1,12,500
Cess (4%): ₹4,500
Total Tax Liability: ₹1,17,000
Tax Savings: ₹1,17,000 (Old Regime) - ₹97,500 (New Regime) = ₹19,500
Annual Income: ₹20,00,000
New Tax Regime:
Gross Income: ₹20,00,000
Standard Deduction: ₹75,000
Taxable Income: ₹19,25,000
Tax Calculation:
0 - 4,00,000: Nil
4,00,001 - 8,00,000: 5% of ₹4,00,000 = ₹20,000
8,00,001 - 12,00,000: 10% of ₹4,00,000 = ₹40,000
12,00,001 - 16,00,000: 15% of ₹4,00,000 = ₹60,000
16,00,001 - 19,25,000: 20% of ₹3,25,000 = ₹65,000
Total Tax: ₹1,85,000
Cess (4%): ₹7,400
Total Tax Liability: ₹1,92,400
Old Tax Regime:
Gross Income: ₹20,00,000
Deductions: (Same as above)
Taxable Income: ₹15,00,000
Tax Calculation:
0 - 2,50,000: Nil
2,50,001 - 5,00,000: 5% of ₹2,50,000 = ₹12,500
5,00,001 - 10,00,000: 20% of ₹5,00,000 = ₹1,00,000
10,00,001 - 15,00,000: 30% of ₹5,00,000 = ₹1,50,000
Total Tax: ₹2,62,500
Cess (4%): ₹10,500
Total Tax Liability: ₹2,73,000
Tax Savings: ₹2,73,000 (Old Regime) - ₹1,92,400 (New Regime) = ₹80,600
Annual Income: ₹24,00,000
New Tax Regime:
Gross Income: ₹24,00,000
Standard Deduction: ₹75,000
Taxable Income: ₹23,25,000
Tax Calculation:
0 - 4,00,000: Nil
4,00,001 - 8,00,000: 5% of ₹4,00,000 = ₹20,000
8,00,001 - 12,00,000: 10% of ₹4,00,000 = ₹40,000
12,00,001 - 16,00,000: 15% of ₹4,00,000 = ₹60,000
16,00,001 - 20,00,000: 20% of ₹4,00,000 = ₹80,000
20,00,001
