Income-tax Slab Rates for Individuals – FY 2025-26 (AY 2026-27)
(As per the Income-tax Act, 1961, amended by Finance (No. 2) Act, 2024)
1. Individuals / HUF / AOP / BOI / Artificial Juridical Persons
As per New Tax Regime – Section 115BAC(1A)
Slab Rates
| Total Income (₹) | Rate |
|---|---|
| Up to 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% |
Important Provisions under New Regime
- Default regime for Individuals, HUF, AOP (other than co-operative society), BOI & AJP
- Rebate under Section 87A
- Resident individual with total income up to ₹12,00,000 ? Rebate up to Rs. 60,000/-
- Standard Deduction
- ₹75,000 for salaried individuals and pensioners
- Major deductions not available, except:
- Section 80CCD(2) (Employer's NPS contribution)
- Section 80CCH(2)
- Section 80JJAA
As Per Old Tax Regime
Individuals below 60 years
| Total Income (₹) | Rate |
|---|---|
| Up to 2,50,000 | Nil |
| 2,50,001 – 5,00,000 | 5% |
| 5,00,001 – 10,00,000 | 20% |
| Above 10,00,000 | 30% |
Senior Citizens (60–79 years)
| Total Income (₹) | Rate |
|---|---|
| Up to 3,00,000 | Nil |
| 3,00,001 – 5,00,000 | 5% |
| 5,00,001 – 10,00,000 | 20% |
| Above 10,00,000 | 30% |
Super Senior Citizens (80 years & above)
| Total Income (₹) | Rate |
|---|---|
| Up to 5,00,000 | Nil |
| 5,00,001 – 10,00,000 | 20% |
| Above 10,00,000 | 30% |
Rebate u/s 87A (Old Regime)
- Resident individual with total income up to ₹5,00,000 ? rebate up to ₹12,500
2. Firms & LLPs
| Particulars | Rate |
|---|---|
| Income-tax | 30% |
| Surcharge | 12% if total income exceeds ₹1 crore |
| Health & Education Cess | 4% |
AMT – Section 115JC
- 18.5% of adjusted total income + surcharge + cess
3. Companies
A. Domestic Companies
Normal Provisions
| Turnover (FY 2022-23) | Rate |
|---|---|
| Up to ₹400 crore | 25% |
| Above ₹400 crore | 30% |
Concessional Regimes
| Section | Tax Rate |
|---|---|
| 115BAA | 22% |
| 115BAB | 15% |
- Surcharge under 115BAA / 115BAB: 10%
- MAT not applicable if these options are exercised
MAT – Section 115JB
- 15% of book profit + surcharge + cess
B. Foreign Companies
| Nature of Income | Rate |
|---|---|
| Royalty / FTS (as per Act) | 10% |
| Other income | 40% |
4. Co-operative Societies
Normal Provisions
| Total Income (₹) | Rate |
|---|---|
| Up to 10,000 | 10% |
| 10,001 – 20,000 | 20% |
| Above 20,000 | 30% |
Concessional Regimes
| Section | Rate |
|---|---|
| 115BAD | 22% |
| 115BAE (manufacturing) | 15% |
5. Local Authorities
Rate: 30%
6. Capital Gains
Long-Term Capital Gains (LTCG)
(As amended by Finance (No. 2) Act, 2024)
| Nature of Asset | Section | Rate |
|---|---|---|
| Listed equity shares / equity-oriented mutual funds | 112A | 12.5% |
| Other long-term capital assets | 112 | 12.5% or 20% (as applicable) |
Revised Threshold
- Exemption limit under section 112A increased to ₹1,25,000
Short-Term Capital Gains
| Nature | Section | Rate |
|---|---|---|
| STCG on equity | 111A | 15% |
| Other STCG | Normal slab rate |
7. Other Special Rates
| Nature of Income | Section | Rate |
|---|---|---|
| Lottery / betting | 115BB | 30% |
| Virtual Digital Assets | 115BBH | 30% |
8. Health & Education Cess
- 4% on income-tax plus surcharge