New Income Tax Slabs for Senior Citizens and Super Senior Citizens for FY 2025-26 (AY 2026-27)

From 2020-21, salaried individual taxpayers and pensioners who don’t have business income can choose between two tax regimes – old and new, in which the income tax slab for senior citizens above 60 years is different. If taxpayers over the age of 60 are looking for new income tax slabs for FY 2025-26 (AY 2026-27), keep reading.

You would get the new budget pensioners tax slab here, along with several other related facts, including the senior and super senior citizen tax slab!

Team Digit

Who is Considered Senior & Super Citizen in India?
Income Tax Slabs for FY 2025-26
Income Tax Slabs for FY 2024-25
Additional Surcharges
How is Income Tax Calculated?
Deductions & Exemptions Available
Benefits Available & Not Available
Frequently Asked Questions

Who is Considered as a Senior Citizen in India?

The law describes any resident individual above the age of 60 but below the age of 80, as on the last day of the previous financial year, as a senior citizen.

Who is Considered as a Super Senior Citizen in India?

Any resident individual above the age of 80, as on the last day of the previous financial year, is termed a super senior citizen as per law.

Income Tax Slabs for FY 2025-26 - New Tax Regime (Same for Senior and Super Senior Citizens)

The Union Budget 2025 revised the tax slab rates under the new tax regime for FY 2025-26 (AY 2026-27), which are the same for all taxpayers irrespective of their age, which is as follows:

Income Tax Slabs	Rate of Taxation
Up to ₹4,00,000	Nil
Between ₹4,00,001 and ₹8,00,000	5% of your total income that exceeds ₹4,00,000
Between ₹8,00,001 and ₹12,00,000	₹20,000 + 10% of your total income that exceeds ₹8,00,000
Between ₹12,00,001 and ₹16,00,000	₹60,000 + 15% of your total income that exceeds ₹12,00,000
Between ₹16,00,001 and ₹20,00,000	₹1,20,000 + 20% of your total income that exceeds ₹16,00,000
Between ₹20,00,001 and ₹24,00,000	₹2,00,000 + 25% of your total income that exceeds ₹20,00,000
Above ₹24,00,000	₹3,00,000 + 30% of your total income that exceeds ₹24,00,000

Along with this, you will also be levied an additional 4% Health and Education cess, which is applicable to the tax amount calculated.

Income Tax Slabs for FY 2024-25 (AY 2025-26) - New Tax Regime (Same for Senior and Super Senior Citizens)

The income tax slab for senior citizens under this regime is the same for all taxpayers irrespective of their age. This implies that senior citizens, between the ages of 60 and 80 and super senior citizens over 80 years of age will have to pay the same taxes as those below the age of 60 under the senior citizen tax slab new regime, which are:

Income Tax Slabs	Rate of Taxation
Up to ₹3,00,000	Nil
Between ₹3,00,001 and ₹7,00,000	5% of your total income that exceeds ₹3,00,000
Between ₹7,00,001 and ₹10,00,000	₹20,000 + 10% of your total income that exceeds ₹7,00,000
Between ₹10,00,001 and ₹12,00,000	₹50,000 + 15% of your total income that exceeds ₹10,00,000
Between ₹12,00,001 and ₹15,00,000	₹80,000 + 20% of your total income that exceeds ₹12,00,000
Above ₹15,00,001	₹1,40,000 + 30% of your total income that exceeds ₹15,00,000

Along with this, you will also be levied with an additional 4% Health and Education cess, which is applicable to the tax amount calculated.

Surcharges for Income Exceeding ₹50 Lakhs for FY 2025-26

Senior and super senior citizens with a taxable income exceeding ₹50 lakh must consider the following surcharges for assessing tax for both the financial years. These surcharges have been levied since April 1, 2023.

For FY 2023-24 (AY 2024-25), the highest surcharge on income over ₹5 Crore has been reduced to 25% from 37% by the Union Budget 2023, effective from April 1, 2023. All the other surcharge rates remain the same in both the old and new tax regimes.

Taxable Income	Surcharge (New Tax Regime)	Surcharge (Old Tax Regime)
For those with an income above ₹50 Lakh but below ₹1 Crore	10%	10%
For those with an income of above ₹1 Crore but below ₹2 Crore	15%	15%
For those with an income of above ₹2 Crore but below ₹5 Crore	25%	25%
For those with an income of above ₹5 Crore	25%	37%

How is New Income Tax Calculated for Senior Citizens and Super Senior Citizens?

The basic salary, fixed allowances, house rent allowance, and other sources of income form the basis for calculating a senior citizen’s income tax. The tax calculating procedure as per the income tax slab for senior citizens above 80 years is similar to that for individuals under 80 years.

However, it must be noted that a higher exemption limit under the old tax regime is applicable for senior and super senior citizens as compared to those aged lower than 60 years.

Income tax for pensioners or senior citizens is levied on every source of income. This includes pension, fixed deposits, post office schemes, rental income, interest or earnings from savings schemes, or reverse mortgages. During the tax calculation for senior citizens, gratuity and retirement benefits should be excluded.

For calculating a senior and super citizens income tax, the entire income is considered along with the senior citizen tax slab new regime for FY 2025-26 and allowable deductions. An income tax calculator can be a handy tool for determining taxable income. If you want to know your approximate tax liability, provide the following details:

Assessment year for which a senior citizen/ super senior citizen is willing to calculate income tax
Residential status, type of taxpayer
Standard deductions
Education cess @ 4%, according to the income tax slab applicable for senior citizens
Surcharge (if applicable)
Total tax liability
Due date of submission of income tax return (ITR)
Income from salary
Income from house property (if applicable)
Income and capital gains from other sources
Gains or profit from any profession or business
Agricultural income (if applicable)
Completion of assessment for income tax return
TCS or TDS (if applicable)

Deductions Applicable for Senior Citizens and Super Senior Citizens in the New Income Tax Regime

The income tax deductions applicable for senior citizens aged 60 and above as per the Union Budget 2025-26 are as follows:

Category	Details
Pension	There exists a standard deduction of ₹75,000 yearly for pensioners, including family pensioners. This is applicable for pensions in the form of taxed annuity payments like salaried income. It comes under Section 80D.
Rebate under Section 87A	Under the new income tax regime, the amount of the rebate under Section 87A for FY 2025-26 (AY 2026-27) has been increased to ₹12 lakhs. Senior and super senior citizens can now avail of ₹60,000 tax relief, which was earlier ₹25,000. However, the rebate under the old tax regime remains the same, which is ₹25,000 for taxable income up to ₹5 lakhs.
Health Insurance	As per Section 80D, senior citizens can claim up to ₹50,000 yearly deductions for their medical expenses and/or health insurance premiums. Dependent seniors can claim a deduction up to ₹1 lakh for critical illnesses under Section 80DDB.
TDS Threshold	Senior citizens who are residents of India get the benefit of a higher TDS deduction on interest earned up to ₹1 lakh annually, from April 1, 2025.

Exemptions Applicable for Senior Citizens and Super Senior Citizens in the New Income Tax Regime

Under the new tax regime, income tax slabs for super senior citizens and senior citizens, taxpayers would have to forego most tax exemptions that were otherwise available under the old or existing income tax regime.

Under the new tax regime for senior citizens and super senior citizens for FY 2025-26, no increased basic limit of exemption exists for these two age categories. This implies that any individual, irrespective of age, would have ₹4 lakhs as the basic exemption limit for a given financial year. For FY 2024-25, this basic exemption limit was set at ₹3 lakhs.

Benefits of the New Income Tax Regime for Senior Citizens and Super Senior Citizens

Some common benefits for senior citizens for FY 2025-26, which might help ease their financial responsibilities, include:

Under Section 80TTB, senior citizens don’t need to pay taxes if they earn interest of up to ₹1 lakh, effective from April 1, 2025, for a given financial year from savings bank accounts, bank deposits, post office deposits or cooperative banks.
Senior citizens are exempted from paying advance tax for a given financial year if they do not have business income.
They can also avail of the benefit of the Reverse Mortgage Scheme, under which, if they receive EMIs, they do not have to pay any capital gains tax on such monthly payments.
Under Section 80DDB, they can claim a deduction of ₹1 lakh for medical expenses incurred for specified diseases.

Benefits Not Available Under the New Income Tax Regime for Senior Citizens and Super Senior Citizens

In case senior citizens and super senior citizens opt for the new tax regime for FY 2025-26, they would have to forego certain income tax benefits, which are as follows:

House Rent Allowance (HRA)
Leave Travel Allowance (LTA)
Other Special Allowances include - relocation allowance and helper allowance.
Children Education Allowance
Daily expenses in the course of employment
Professional tax
Interest on housing loan under Section 24
Deduction under Chapter VI-A such as 80C, 80D, 80E, 80TTB, etc. However, deduction under the notified pension scheme and under 80JJAA is available.

FAQs about Income Tax Slab for Senior Citizens

All

Can senior citizens avail of any special benefit under the income tax law?

Yes, senior citizens of India are taken care of by the nation’s income tax law. The law extends several tax benefits to this category of individuals. Going through the dedicated section of benefits for senior citizens would help you determine all such benefits under the new tax regime.

Will a super senior citizen be granted an exemption from e-filing of income tax returns?

A super senior citizen filing their income tax return in form ITR ¼ is eligible for filing the return of income in paper mode starting from the Assessment Year 2019-20. This implies that it is not mandatory for that super senior citizen to e-file ITR 1/4 (as the case may be). However, if such an individual wishes to go for e-filing, they are free to do so.

Is a senior citizen exempted from filing ITR or income tax return?

Per the Income Tax Act of 1961, senior and super senior citizens are not exempted from filing ITR. However, to provide relief and reduce the compliance burden on senior citizens aged 75 years and above, a new section, Section 194P, has been introduced by the Finance Act 2021.

Can senior citizens choose between the old and new tax regimes?

Yes, senior citizens have the option to choose between the old and new tax regimes based on which one is more beneficial for them.

What deductions are available for senior citizens?

Senior citizens can claim various deductions, including Section 80TTB, Section 80D, and Section 80DDB.

What are the benefits of the new tax regime for senior citizens?

The new tax regime offers lower tax rates for senior and super senior citizens. However, it does not allow certain deductions and exemptions available under the old tax regime. Senior citizens can choose the regime that best suits their financial situation.

Can salaried senior citizens claim HRA exemption?

Yes, senior citizens who are salaried and receive HRA can claim this exemption. They can check how to calculate HRA exemption online and determine the exact amount they can claim, thereby reducing their taxable income and overall tax liability.