Over 95% of employees think Income Tax is far too complicated. Calculate your own income tax with data from your payslip and learn to calculate yourself!

First, Open the Income Tax Calculator

Income Tax Calculator

Key in data from your payslip

Income Tax - Earnings
Income Tax - Deduction

Declare your investments

Income Tax - Declarations

Calculate Income Tax !

Compute Income Tax

Congratulations! You have calculated your own Income tax. Now, let’s learn how it is calculated.

Step 1: Calculate HRA Exemption

HRA exemption is calculated as the least of D, E and F shown in table below.

Income Tax - HRA Exemption

Where D is the HRA paid by your employer.
E is the rent paid over 10% of (Basic Pay + DA + Commission).
And F is 40% of (Basic Pay + DA + Commission).

To learn this in detail, watch the help video below!

Step 2: Calculate Taxable Income

In New Regime, Taxable Income is calculated as (Gross Salary + Bonus + Other Income – Deductions under Chapter VI A).

The Old regime calculates taxable income with a similar formula which also includes more deductions, exemptions and a standard deduction.

Taxable Income

To learn in detail, watch the video below!

Step 3: Calculate Income tax by applying Taxable Income on Tax slab

The New Regime has a fixed tax slab as shown.
The Old Regime has a varying slab according to the age of the employee.

Taxable Income

To learn in detail, watch the video below!

Step 4: Calculate Tax Liability

The total tax liability is calculated in the same way for both Old and New Regime. Tax Liability is calculated as sum of Income Tax calculated in the previous step, Surcharge on the income tax calculated, and the Health and Education Cess imposed by the Government.

Income Tax Liability

To learn in detail, watch the help video available here!

The Income Tax Calculator calculates Income Tax from your payslip and also explains how it is calculated. Just experiment with the Income Tax Calculator to learn and understand Income Tax in no time.

New to Income tax? There is nothing to worry about!
Calculate Income Tax with data from your payslip