The Economic Times

Will new TDS rules change your take-home salary from April 1, 2026? Key income tax-related changes in new financial year (FY26-27)

Salaried employees face new Tax Deducted at Source rules from April 1, 2026. The new financial year brings revised tax calculations and compliance requirements. Employees must inform employers if they wish to opt for the old tax regime. Higher standard deductions and increased tax-free benefits are introduced. Choosing between tax regimes depends on individual deductions and salary structure.