Question
How much standard deduction can a salaried person or pensioner claim in FY 2026-27?
Answer
For FY 2026-27 the standard deduction on salary is Rs 75,000 under the new tax regime and Rs 50,000 under the old regime. It is a flat deduction for salaried employees and pensioners, with no proof or investment needed, subtracted straight from salary income. Under the new regime, the Rs 75,000 deduction is what makes salary up to roughly Rs 12.75 lakh tax-free once the Section 87A rebate applies. See the impact on your take-home tax 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.