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Income tax on ₹20 lakh salary (FY 2026-27)
New regime
₹1,92,400
₹16,033 a month · 9.6% of salary
Old regime, ₹1.5 lakh 80C
₹3,66,600
₹30,550 a month
On a gross salary of ₹20,00,000, the old regime is cheaper only if your deductions and exemptions are more than about ₹7,08,400.
New regime working
| Gross salary | ₹20,00,000 |
|---|---|
| Standard deduction | − ₹75,000 |
| Taxable income | ₹19,25,000 |
| Slab | Rate | Tax |
|---|---|---|
| ₹0–4 lakh | 0% | ₹0 |
| ₹4–8 lakh | 5% | ₹20,000 |
| ₹8–12 lakh | 10% | ₹40,000 |
| ₹12–16 lakh | 15% | ₹60,000 |
| ₹16–19.25 lakh | 20% | ₹65,000 |
| Tax on slabs | ₹1,85,000 |
|---|---|
| Cess (4%) | ₹7,400 |
| Total tax | ₹1,92,400 |
Old regime with different deductions
Deductions here mean 80C, 80D, HRA exemption, home loan interest and the like, on top of the ₹50,000 standard deduction.
| Deductions | Taxable income | Tax | vs new regime |
|---|---|---|---|
| ₹0 | ₹19,50,000 | ₹4,13,400 | costs ₹2,21,000 more |
| ₹1,50,000 | ₹18,00,000 | ₹3,66,600 | costs ₹1,74,200 more |
| ₹2,50,000 | ₹17,00,000 | ₹3,35,400 | costs ₹1,43,000 more |
| ₹3,75,000 | ₹15,75,000 | ₹2,96,400 | costs ₹1,04,000 more |
| ₹5,00,000 | ₹14,50,000 | ₹2,57,400 | costs ₹65,000 more |
Calculate with your own deductions · In-hand pay on a ₹20 lakh CTC
Frequently asked questions
How much tax do I pay on ₹20 lakh salary?
₹1,92,400 for the year under the new regime in FY 2026-27, including 4% cess. Under the old regime with ₹1.5 lakh of 80C deductions, it is ₹3,66,600.