Enter total salary before any deductions. Standard deduction applied automatically.

PPF, ELSS, EPF, LIC, home loan principal — max ₹1.5 lakh

Health insurance premium — max ₹25,000 (self) or ₹50,000 (senior parents)

Use our HRA Calculator to find your exact exemption

80E (education loan), 80G (donations), NPS 80CCD(1B) etc.

Tax Comparison — New vs Old Regime

Income Tax on ₹20 LPA — FY 2025-26

💡 At ₹20 LPA, new regime tax is ~₹1,04,000. Old regime wins if deductions exceed ₹4.5 lakh. HRA is often the deciding factor at this income level.

At ₹20 LPA, you are in the 20% slab under the new regime. Tax is approximately ₹1,04,000 (after ₹75K standard deduction, taxable = ₹19.25L). The old regime can significantly reduce this if you have high HRA exemption or home loan interest deduction.

For a Mumbai/Delhi/Bengaluru professional paying ₹30,000+/month rent with basic ₹8–9L, HRA exemption alone can be ₹2.5–3L/year — making old regime competitive at ₹20 LPA.

How Tax is Calculated on ₹20 LPA

New: ₹20L − ₹75K = ₹19.25L taxable → ~₹1,00,000 tax + cess

Old Regime with typical deductions

₹20L − ₹50K std − ₹1.5L (80C) − ₹25K (80D) − ₹2.5L (HRA) = ₹15.25L taxable.
Tax on ₹15.25L: ₹12,500 + ₹1,00,000 + ₹15,750 = ₹1,28,250 + 4% cess = ₹1,33,380.
New regime still wins in this scenario.

⚠️ Tax slabs shown are for FY 2025-26. Verify after each Union Budget.

Example Calculation

📋 ₹20 LPA — Tax Scenarios
New regimeTaxable ₹19.25L → ~₹1,00,000 + cess = ₹1,04,000
Old (80C + 80D)Taxable ₹17.75L → ~₹2,02,500 + cess = ₹2,10,600 — New wins
Old (+ HRA ₹2.5L)Taxable ₹15.25L → ~₹1,33,380 — New still wins
Old (+ HRA ₹4L + home loan)Taxable ₹11.25L → ~₹78,000 — Old regime wins

Frequently Asked Questions

Under the new tax regime, ₹20 LPA attracts approximately ₹1,04,000 in total tax (including 4% cess). Under the old regime with standard deductions (80C + 80D), tax is higher at ~₹2.1 lakh. Old regime beats new regime only if total deductions exceed approximately ₹4.5–5 lakh.

New regime is better for most ₹20 LPA earners. Old regime only wins with very high deductions — typically ₹4.5L+ including HRA, home loan interest (Section 24b), 80C, and 80D combined. If you pay high rent in a metro and have a home loan, old regime may save more. Use this calculator with your exact numbers.

For ₹20 LPA with typical 40% basic, monthly in-hand is approximately ₹1,30,000–₹1,45,000 under the new regime. Actual amount depends on salary structure, EPF contribution, and professional tax. Use our Salary In-Hand Calculator for an exact breakdown.

Disclaimer: Results are for informational and educational purposes only — not financial, tax, or legal advice. Tax slabs, rates (EPF, PPF, home loan), and rules shown are based on data available in 2025 and may change. Always verify with a qualified professional or official government sources before making financial decisions.