Old Tax Regime

The Old Tax Regime is the traditional Indian income tax framework with higher slab rates that allow taxpayers to claim a wide range of deductions and exemptions including HRA, LTA, 80C, 80D, and home loan interest. Employees must actively opt for this regime by filing a declaration with their employer, as the new regime is now the default. HR teams run tax projections under both regimes to help employees choose optimally.