Age has its privileges
The Income Tax Department gives older citizens a higher basic exemption limit — the income below which you pay no tax at all. Here are the slabs for Assessment Year 2026-27 (Financial Year 2025-26).
The headline number
In the old regime, the basic exemption is ₹3 lakh for seniors (60-79) and ₹5 lakh for super seniors (80+); the new regime gives no age benefit but a ₹75,000 standard deduction (Source: Finance Act 2025).
| Group | Old regime exemption | New regime |
|---|---|---|
| Below 60 | ₹2,50,000 | No age benefit |
| Senior (60-79) | ₹3,00,000 | No age benefit |
| Super senior (80+) | ₹5,00,000 | No age benefit |
The new tax regime (default)
Here, age does not matter — the slabs are the same for everyone:
- Up to ₹3,00,000: Nil
- ₹3L to ₹7L: 5%
- ₹7L to ₹10L: 10%
- ₹10L to ₹12L: 15%
- ₹12L to ₹15L: 20%
- Above ₹15L: 30%
Pensioners also get a ₹75,000 standard deduction on pension.
The old tax regime (opt-in)
If you opt in to claim deductions like 80C, 80D, or 80TTB, age matters:
Senior citizens (60 to 79): - Up to ₹3,00,000: Nil - ₹3L to ₹5L: 5% - ₹5L to ₹10L: 20% - Above ₹10L: 30%
Super senior citizens (80+): - Up to ₹5,00,000: Nil - ₹5L to ₹10L: 20% - Above ₹10L: 30%
The 87A rebate
Whatever your age, if taxable income is within the threshold (broadly ₹7 lakh in the new regime, ₹5 lakh in the old), the Section 87A rebate can bring your tax to zero.
What you should do
- Note your age bracket — it changes only the old-regime exemption.
- Add up your 80C, 80D, and 80TTB before comparing regimes.
- Test both regimes on your actual numbers.
Common mistake
Assuming the new regime is always better. Retirees with heavy 80D and FD-interest (80TTB) deductions often pay less under the old regime, which the new regime removes.
How LastMinute ITR helps
LastMinute ITR runs your numbers through both sets of slabs, applies your senior deductions in your deductions summary, and shows the cheaper option in a clear regime comparison. You then file and e-verify on incometax.gov.in.