Deep Analysis: Indian Tax Architecture
The choice between the Old and New Tax Regimes depends heavily on your deductible investment behavior. The New Tax Regime offers substantially lower tax slabs but completely strips away popular deductions like Section 80C (PPF, ELSS, Insurance) and Section 24 (Home Loan Interest).
Conversely, the Old Tax Regime retains all deductions but charges higher marginal tax rates. For salaried individuals, a baseline Standard Deduction of ₹75,000 is automatically accounted for across both configurations to give an accurate, compliant projection.