Last Updated on February 28, 2023 at 9:59 am
Only the slabs of the new tax regime have been reduced (lowered for some slabs) in Budget 2023. The new tax regime will now be the default regimen, and taxpayers will have to specifically select the old regime if they wish to use it.
Update: Download the free revised income tax calculator below!
This is a comparison table of the old tax regime vs the new tax regime (applicable until 31st March 2023) and the new tax regime applicable from 1st April 2023.
Note that taxpayers opting for the new tax regime will get a rebate under section 87A up to seven lakhs. So those with income up to seven lakhs do not have to pay tax if they choose the new regime.
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Also, note that salaried individuals or pensioners are eligible for a standard deduction of Rs 50,000 in the new tax regime.
| Slab | Old Tax Regime | New Tax Regime (until 31st March 2023) | New Tax Regime (From 1st April 2023) |
| 0-2.5L | 0 | 0 | 0 |
| 2.5L -3L | 5% | 5% | 0 |
| 3L-5L | 5% | 5% | 5% |
| 5L-6L | 20% | 10% | 5% |
| 6L-7.5L | 20% | 10% | 10% |
| 7.5L-9L | 20% | 15% | 10% |
| 9L-10L | 20% | 15% | 15% |
| 10L-12L | 30% | 20% | 15% |
| 12L-12.5L | 30% | 20% | 20% |
| 12.5L-15L | 30% | 25% | 20% |
| >15L | 30% | 30% | 30% |
Download free calculator: New Tax Regime vs Old Tax Regime Calculator: Check which is better