Written by : Knowledge Centre Team
2026-05-13
5731 Views
14 minutes read
Share
Every country requires financial resources to carry out essential functions, make public expenditures and launch new initiatives for the welfare of its public. One of the primary ways in which these financial resources are accumulated is through the process of levying taxes on the income generated by the people of the country. This tax is known as income tax.
The specific income tax levied by each country depends on the specific regulations and guidelines it places around the taxation process. Income tax in India is no different. It is subject to the regulations specified by the government of the country and is applicable to the people who qualify as taxpayers.
Click here to use - Income Tax Calculator
Let us take a closer look at this topic and more, regarding income tax in India:
Categories of Taxpayers:
The first point to consider about income tax in India is the matter of who qualifies as taxpayers. Here are the primary categories of income taxpayers:
- Citizens of India under 60 years of age whose annual income is higher than ₹4 lakh.
- Citizens of India over the age of 60 but below 80 whose annual income exceeds ₹ 3 lakhs.
- Citizens of India over the age of 80 whose annual income exceeds ₹4 lakh.
- Hindu Undivided Families (HUF)
- Body of Individuals (BOI)
- Association of Persons (AOP)
- Corporate Firms
- Companies
Save Taxes While Building Long-Term Wealth
Enter OTP
An OTP has been sent to your mobile number
Didn’t receive OTP?
Application Status
Name
Date of Birth
Plan Name
Status
Unclaimed Amount of the Policyholder as on
Name of the policy holder
Policy No.
Address of the Policyholder as per records
Unclaimed Amount
Sorry ! No records Found
Request Registered
Thank You for submitting the response, will get back with you.
Thank you for your interest in our product. Our financial expert will connect with you shortly to help you choose the best plan.
Types of Income Tax in India 2026
Income tax in India is collected from its citizens by the Government in one of three primary ways:
- Voluntary payments filed for and made by taxpayers into banks
- Taxes Deducted at Source, or TDS
- Taxes Collected at Source, or TCS
Also Read about - Corporate Tax
What Is Subject To Income Tax in India?
The other important point to consider about income taxes in India is how the term ‘income’ is defined. Here are the categories of income generated by a person, that are subject to income taxation:
- Income generated through salaries or pension
- Income generated from capital gains, such as earnings from sale of capital assets
- Income from house property, which typically refers to rental income
- Income from business/profession, such as earnings of freelancers and business owners
- Income from other sources
Income Tax Rates - Old Regime
The rate of income tax in India paid by a taxpayer is dependent on the amount of income he or she earns in the course of a financial year. These income amounts are categorised in ranges or slabs, and an income tax rate is applicable to each of these slabs. Based on the income tax slab a taxpayer falls under, he or she is subject to pay that rate of income tax.
In order to lower one’s tax burden, a taxpayer can make certain tax-saving investments and opt for the appropriate tax deductions that apply to them. If that is the case, the taxpayer’s income will be subject to the old tax regime (explained later), and the applicable rates for an individual (less than 60 years of age) are as follows:
| Income tax slab | Applicable tax rate |
|---|---|
| 0 to 2,50,000 | Nil |
| 2,50,001 to 5,00,000 | 5% of total income |
| 5,00,001 to 10,00,000 | 20% of total income |
| Above 10,00,000 | 30% of total income |
Income Tax Rates - New Regime
During Budget 2024, income tax in India introduced a new form of optional tax regime, which means taxpayers can file their income taxes as per these new rates or the old tax rates (mentioned above), at their own discretion. It incorporates new tax slabs and offers lower tax rates, but comes with the condition that taxpayers cannot opt for various deductions.
Here are the tax slabs and rates as per the new tax regime for FY (2025-2026) i.e AY 2026-27:
| Income tax slab | Applicable tax rate |
|---|---|
| 0 to 2,50,000 | Nil |
| 2,50,001 to 5,00,000 | 5% of total income |
| 5,00,001 to 7,50,000 | 10% of total income |
| 7,50,001 to 10,00,000 | 15% of total income |
| 10,00,001 to 12,50,000 | 20% of total income |
| 12,50,001 to 15,00,000 | 25% of total income |
| Above 15,00,000 | 30% of total income |
Whether it be for tax-saving purposes or purely for the purpose of safeguarding your family’s future, it is important to have a reliable insurance plan as an essential part of your portfolio. For that purpose, the iSelect+ Term Plan, offered by Canara HSBC Life Insurance , is the ideal term insurance plan for every taxpayer and investor.
It offers a wide variety of add-on riders, such as Accident Death and Disability, enhancing your term plan with greater coverage and providing additional benefits to your insurance policy. You can also avail of plan variants of your choice, including 100% return of the premium plan as well as a plan with a limited premium payment option.
Disclaimer - This article is issued in the general public interest and meant for general information purposes only. The views expressed in this blog are solely those of the writer and do not necessarily reflect the official policy or position of Canara HSBC Life Insurance Company Limited or any affiliated entity. We make no representations or warranties of any kind, express or implied, about the completeness, accuracy, reliability, suitability, or availability with respect to the blog or the information, products, services, or related graphics contained in the blog for any purpose. Any reliance you place on such information is therefore strictly at your own risk. You should consult with a qualified professional regarding your specific circumstances before taking any action based on the content provided herein.
Recent Blogs
Do You Pay Income Tax on a ₹5 Lakh Salary? FY 2026 - 27 Tax Guide
18 June '26
1674 Views
6 minute read
Wondering if you need to pay income tax on a ₹5 lakh salary? Check your tax liability under the new and old tax regimes, understand rebate eligibility, and calculate your tax for FY 2026–27.
Read More
Tax Saving
How Much Tax Will You Pay on a ₹20 Lakh Salary? FY 2026 - 27 Tax Guide
18 June '26
1624 Views
6 minute read
Wondering how much tax you'll pay on a ₹20 lakh salary? Compare the new and old tax regimes, calculate your tax liability, explore deductions, and discover smart ways to save tax in FY 2026–27.
Read More
Tax Saving
How Much Tax Will You Pay on a ₹50 Lakh Salary? FY 2026–27 Tax Guide
18 June '26
1028 Views
7 minute read
Wondering how much tax you'll pay on a ₹50 lakh salary? Compare the new and old tax regimes, calculate your tax liability, understand surcharge rules, and discover smart ways to reduce your tax in FY 2026–27.
Read More
Tax Saving
How Much Tax Will You Pay on a ₹35 Lakh Salary? | FY 2026–27 Tax Guide
18 June '26
1518 Views
7 minute read
Wondering how much tax you'll pay on a ₹35 lakh salary? Compare the new and old tax regimes, estimate your tax liability, explore tax-saving options, and calculate your tax for FY 2026–27.
Read More
Tax Saving
How Much Tax Will You Pay on a ₹25 Lakh Salary? FY 2026–27 Guide
18 June '26
1326 Views
7 minute read
Wondering how much tax you'll pay on a ₹25 lakh salary? Get the latest FY 2026–27 tax calculation, compare the new and old tax regimes, estimate your tax liability, and explore smart ways to save more tax.
Read More
Tax Saving
How Much Tax Will You Pay on a ₹15 Lakh Salary? FY 2026 - 27 Tax Guide
18 June '26
1729 Views
6 minute read
Wondering how much tax you'll pay on a ₹15 lakh salary? Compare the new and old tax regimes, calculate your tax liability, explore deductions, and discover smart ways to save tax in FY 2026–27.
Read More
Tax Saving
How to Calculate Income Tax in India (FY 2026–27) | Tax Calculation Guide
18 June '26
1187 Views
8 minute read
Learn how to calculate income tax in India for FY 2026 - 27 using the latest tax slabs under the old and new tax regimes. Explore step-by-step calculations, examples, deductions and tax-saving tips.
Read More
Tax Saving
How Much Income Tax Will You Pay? FY 2026–27 Tax Guide
18 June '26
8542 Views
15 minute read
Find out how much income tax you need to pay for FY 2026–27 using the latest tax slabs under the old and new tax regimes. Explore salary-wise tax calculations, examples and tax-saving tips.
Read More
Tax Saving
Income Tax Slab FY 2026-27: New vs Old Regime Tax Rates
04 June '26
12200 Views
15 minute read
Check latest income tax slabs, rebate, surcharge & deductions under old and new tax regimes for FY 2026-27.
Read More
Tax Saving
Tax Savings - Top Selling Plans
We bring you a collection of popular Canara HSBC life insurance plans. Forget the dusty brochures and endless offline visits! Dive into the features of our top-selling online insurance plans and buy the one that meets your goals and requirements. You and your wallet will be thankful in the future as we brighten up your financial future with these plans.
Family Shield: Enhanced Protection
iSelect Smart360 Term Plan
- 3 Plan options
- Life cover till 99 years
- Steady income benefit
- Block your premium at inception
Fixed Returns, Zero Risks & Worries
iSelect Guaranteed Future Plus
- 4 Plan options
- Life cover + Guaranteed benefits
- Accidental death benefit
- Premium protection cover
Start Young, Pay Less, Stay Secured
Young Term Plan
- Life cover till 99 years
- Coverage for spouse
- Block your premium rate
- Covers 40 critical illness
Popular Searches
- Tax Planning
- Income Tax Calculator
- TDS Vs TCS
- Section 80C
- What Is ITR
- Tax Concepts
- Section 80D
- Section 24
- 80DDB
- What is MAT?
- ITR-3 Form
- Term Insurance Tax Benefit
- TDS for Professional Fees
- Income Tax Slab FY 2025-26
- HRA Calculator
- TDS on Rent
- What is Income Tax Return?
- Income Tax for NRI
- How to File Income Tax?
- Section 80C Tax Benefits
- Old vs New Tax Regime
- LTCG Tax on Investments
- Tax Saving Options for Salaried
- Income Tax Rebate under 87A