Revised New Vs Old Tax Regime (After Budget 2023 Changes)

The Budget 2023 has revised (and reduced) the tax slabs for ONLY the new tax regime (read more here). Here is a comparison table of the New tax regime vs Old tax regime (applicable from 1st April 2023).

New Vs Old Tax Regime 2023

Income Tax SlabsOld Tax Regime Tax RatesNew Tax Regime Rates
0 – Rs 2.5 lakh0%0%
Rs 2.5 – 3 lakh5%0%
Rs 3 – 5 lakh5%5%
Rs 5 – 6 lakh20%5%
Rs 6 – 7.5 lakh20%10%
Rs 7.5 – 9 lakh20%10%
Rs 9 – 10 lakh20%15%
Rs 10 – 12 lakh30%15%
Rs 12 – 12.5 lakh30%20%
Rs 12.5 – 15 lakh30%20%
Rs 15 lakh +30%30%

Also, if someone is earning less than Rs 7 lakh and has opted for the new tax regime, then he/she will not have to pay any taxes as they will get a rebate under section 87A up to Rs 7 lakh taxable income. That is you have Tax-Free Income of Rs 7 lakh under new regime.

To know which option is better for you, do read the detailed post – New Vs Old Tax Slabs FY 2023-24: Which is Better?

So that was the comparison table for the latest New Tax Regime vs Old Tax regime. The revised rates/slabs of the new regime will be applicable from 1st April 2023.

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