How is monthly TDS on salary calculated?

Monthly TDS is estimated by dividing annual income tax liability by 12 after applying regime-specific deductions and slab rates.

Does this calculator compare old and new tax regime?

Yes. It calculates annual tax and monthly TDS for both old and new regimes so payroll teams can compare outcomes.

Which deductions are included for old regime?

Old regime estimates include standard deduction, HRA exemption, Section 80C (including employee PF up to ₹1.5L), and Section 80D inputs.

FREE TOOL

Salary TDS Calculator

Estimate monthly TDS and annual income tax on salary for India. Compare old vs new tax regime with slab-wise breakup for FY 2025-26.

Enter Salary & Tax Inputs

Use annual gross salary and deductions to estimate TDS for payroll planning.

Salary Details

Annual gross salary (INR)

Primary regime to highlight

Basic pay (% of gross)

Employee PF contribution / year (optional)

Old Regime Deductions (for comparison)

These apply only to the old regime column. New regime uses standard deduction only.

Other Section 80C / year (optional)

Section 80D / year (optional)

Annual HRA received (optional)

Annual rent paid (optional)

Metro city (50% of basic HRA exemption cap)

TDS Estimate

Enter salary details to see monthly TDS and old vs new regime comparison.

What this TDS calculator covers

Monthly TDS estimate from annual tax liability
Old vs new regime comparison on the same salary
Slab-wise income tax breakup with cess and rebate
HRA, 80C, and 80D handling for old regime
FY 2025-26 slab logic (₹75k standard deduction in new regime)

For payroll and finance teams

Use this before setting monthly TDS deductions or answering employee tax questions. Clan automates payroll TDS, Form 16 workflows, and compliance for growing Indian teams.

Frequently Asked Questions

How is monthly TDS calculated from salary?

We estimate annual income tax under each regime, then divide by 12 for an indicative monthly TDS amount.

Should I choose old or new regime?

It depends on your deductions. This tool calculates both so you can compare annual tax and monthly TDS side by side.

Is this a substitute for Form 16 or payroll software?

No. This is an indicative calculator for planning. Final TDS should follow your payroll system, declarations, and latest CBDT rules.