TDS on Salary Calculator

Estimate tax deducted at source from salary.

As of FY 2026-27

Inputs

This calculator applies to India — the rules behind it are Indian tax/regulatory rules, not just the currency, so it isn't shown in other currencies.

This calculator is for general information only and isn't financial advice. Rates, tax rules, and your actual eligibility depend on your specific situation — check with your bank or a qualified advisor before acting on it.

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Formula

TDS = slab tax on (Annual salary + Other income − Deductions)

Taxable income is gross salary plus other income minus declared deductions (80C, 80D, etc.). Progressive slab rates are applied to compute annual tax liability, which is divided by 12 for estimated monthly TDS. This mirrors how employers withhold tax after investment declarations.

Worked example

On ₹12 lakh salary with ₹1.5 lakh in 80C/80D deductions, taxable income is ₹10.5 lakh. Slab tax comes to about ₹75,000 annually — roughly ₹6,250/month TDS. Actual employer TDS may differ based on regime choice and mid-year declarations.

Where this can give the wrong answer

  • Health and education cess (4%) isn't added — actual TDS will be slightly higher than this estimate.
  • New-regime vs old-regime choice significantly affects tax — this uses simplified new-regime slabs; old-regime with heavy deductions may yield lower TDS.
  • Surcharge above ₹50 lakh income and Section 87A rebate below ₹7 lakh aren't modelled.

FAQ

Employers annualise your salary, factor in projected bonuses, and adjust TDS monthly based on Form 12BB declarations. Mid-year hikes, loss of exemptions, or regime switches cause payslip TDS to diverge from a simple annual estimate.