Question
I am salaried and confused which regime to pick for FY 2026-27. Which one is the default and how do I choose the old one?
Answer
The new tax regime is the default for FY 2026-27, so you pay tax under it automatically unless you actively opt out. The new regime offers lower slab rates and a Rs 75,000 standard deduction but allows almost no deductions; the old regime keeps higher rates but lets you claim HRA, 80C/Section 123, home-loan interest and more. The new regime usually wins unless your total deductions are large. Salaried taxpayers without business income simply opt out in the ITR; those with business or professional income must file Form 10-IEA before the due date. Compare both with our income tax calculator.
This answer is general information based on the law as it stood when written and is not professional advice on your specific situation. Verify the current position and consult a qualified professional before acting. See our disclaimer.