Income tax for senior citizens and super senior citizens
Updated 11 October 2026
Senior citizens (60 to 79) and super senior citizens (80 and above) pay income tax like everyone else, but the old regime gives them a higher tax-free limit (₹3 lakh and ₹5 lakh) and bigger deductions. The new regime has the same slabs for every age, yet its rebate makes total income up to ₹12 lakh tax-free, which is ₹12.75 lakh of pension after the standard deduction. For most pensioners the new regime now costs less.
Who is a senior citizen for tax
A resident individual who is 60 or older at any time during the tax year is a senior citizen; one who is 80 or older is a super senior citizen. The higher old-regime exemptions are for residents only: a non-resident gets the normal limit whatever their age.
Slabs: new regime and old regime
New regime (the default, the same for all ages): nil up to ₹4 lakh, 5% on ₹4-8 lakh, 10% on ₹8-12 lakh, 15% on ₹12-16 lakh, 20% on ₹16-20 lakh, 25% on ₹20-24 lakh and 30% above ₹24 lakh, with a rebate of up to ₹60,000 when total income is up to ₹12 lakh. See income tax slabs 2026-27.
| Old regime income | Below 60 | 60 to 79 | 80 and above |
|---|---|---|---|
| Up to ₹2,50,000 | Nil | Nil | Nil |
| ₹2,50,001 to ₹3,00,000 | 5% | Nil | Nil |
| ₹3,00,001 to ₹5,00,000 | 5% | 5% | Nil |
| ₹5,00,001 to ₹10,00,000 | 20% | 20% | 20% |
| Above ₹10,00,000 | 30% | 30% | 30% |
In the old regime the rebate is ₹12,500 for total income up to ₹5 lakh. A 4% cess applies in both regimes.
Deductions and benefits
| Benefit | Old regime | New regime |
|---|---|---|
| Standard deduction on pension | ₹50,000 | ₹75,000 |
| Family pension deduction | One-third, up to ₹15,000 | One-third, up to ₹25,000 |
| Interest on deposits (80TTB, now section 153) | Up to ₹50,000 | Not allowed |
| Health insurance (80D, now section 126) | Up to ₹50,000 for yourself and your spouse; medical bills up to ₹50,000 if uninsured | Not allowed |
| Treatment of specified diseases (80DDB) | Up to ₹1,00,000 | Not allowed |
| Commuted pension, government pensioners | Fully exempt | Fully exempt |
For more, see tax on pension, section 80D and family pension.
TDS, advance tax and filing
- TDS on interest: banks, co-operative banks and the post office deduct 10% only when a senior citizen's interest from that bank crosses ₹1 lakh in the year. If your tax for the year will be nil, give the bank Form 121, which replaced Form 15H from 1 April 2026. See tax on FD interest.
- TDS on pension: the pension-paying bank deducts TDS as an employer would. Tell it which regime you want.
- Advance tax: a resident senior citizen with no business or professional income does not have to pay advance tax. Pay any balance as self-assessment tax before you file.
- No return at 75 and above, in one case: a resident aged 75 or more whose only income is pension and interest from the same specified bank can give that bank Form 125 (earlier Form 12BBA). The bank then works out and deducts the full tax, and no return needs to be filed. See the department's Form 125 FAQs.
- Otherwise, file by 31 July, usually in ITR-1 if your income is up to ₹50 lakh from pension, one house and interest (see ITR due dates). Life certificates are a separate, pension-side requirement: see Jeevan Pramaan.
New regime: ₹7,80,000 − ₹75,000 + ₹1,60,000 = ₹8,65,000. That is under ₹12 lakh, so the rebate makes his tax nil.
Old regime: ₹7,80,000 − ₹50,000 + ₹1,60,000 = ₹8,90,000, minus 80TTB of ₹50,000 and 80D of ₹40,000 = ₹8,00,000. Tax: 5% of ₹2,00,000 (₹3-5 lakh) = ₹10,000, plus 20% of ₹3,00,000 (₹5-8 lakh) = ₹60,000, total ₹70,000, plus cess = ₹72,800.
The new regime saves him ₹72,800. His FD interest from one bank is above ₹1 lakh, so the bank would deduct ₹15,000 TDS; since his tax will be nil, he can give it Form 121 instead.
Which regime suits most pensioners
If your total income after the ₹75,000 standard deduction is ₹12 lakh or less, the new regime means zero tax. The old regime can win at higher incomes when you have large deductions: 80D for yourself and your spouse, 80TTB on interest, 80C (for example, deposits in the Senior Citizens' Savings Scheme) and 80DDB. Run both in the income tax calculator, which has the senior and super senior slabs built in. For pensioners over 80, the extra pension is covered in additional pension after 80.