The new regime is now the default, and for most salaried taxpayers without large deductions it is also the cheaper option. But 'most' is not 'all' — the answer depends on your deduction stack.
As a rule of thumb, if your total deductions — HRA, 80C, 80D, home loan interest and NPS — exceed roughly ₹4.25 lakh, the old regime still wins for incomes above ₹15 lakh. Below that threshold, the new regime's lower slabs usually come out ahead.
Business owners and professionals should note the regime choice is locked for the year once made, while salaried individuals can switch each year. Run the numbers before your employer deducts TDS, not after.
We run a regime comparison for every client at the start of the financial year — it takes fifteen minutes and routinely saves ₹20,000–₹80,000.
