Compare old and new tax regimes
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Both the old and new tax regimes are computed independently on the same income and deduction inputs, then compared side by side to show which regime results in lower tax.
The old regime allows deductions and exemptions (80C, HRA, home loan interest, etc.) at generally higher slab rates. The new regime has lower slab rates but few deductions.
Salaried individuals can choose either regime each financial year when filing their return. Those with business income have more limited switching rules — consult a tax advisor.
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