# Income Tax on 20 Lakh Salary FY 2026-27 and 20 LPA In-Hand > Tax on a INR 20 lakh salary in FY 2026-27 is INR 1,92,400 in the new regime. See the in hand salary for 20 LPA per month, the old regime and what changes it. Source: https://trykosh.com/tools/income-tax-on-20-lakh-salary Free tool - Income tax # Income tax and in-hand pay on a INR 20 lakh salary A INR 20 lakh salary pays INR 1,92,400 in the new regime. On a 20 LPA CTC, that's about INR 1.29 lakh a month in hand. Rules checked 25 October 2026Free - no sign-upRuns in your browser New regime saves you INR 1,04,000 Tax: INR 1,92,400 a year, INR 16,033 a month New regime**INR 1,92,400** Old regime**INR 2,96,400** Effective rate**9.6%** Gross income INR 20,00,000 − Standard deduction INR 75,000 Taxable income INR 19,25,000 Tax on slabs INR 1,85,000 \+ Health & education cess (4%) INR 7,400 Total tax INR 1,92,400 Side by side New regime Old regime Gross income INR 20,00,000 INR 20,00,000 Deductions INR 75,000 INR 4,25,000 Taxable income INR 19,25,000 INR 15,75,000 Tax on slabs INR 1,85,000 INR 2,85,000 Rebate (87A) INR 0 INR 0 Surcharge INR 0 INR 0 Cess (4%) INR 7,400 INR 11,400 Total tax INR 1,92,400 INR 2,96,400 Marginal rate 20% 30% The new regime is the default: you don't need to do anything to get it. ## Upload your statement and Kosh does this for you. Upload a bank statement or salary slip and Kosh works out your tax under both regimes from your real numbers, finds the deductions you're missing and reminds you before every deadline. [Start free](/signup?via=tool-income-tax-on-20-lakh-salary) ## How the tax on INR 20 lakh salary works New regime: INR 20 lakh minus INR 75,000 is INR 19.25 lakh taxable. Slab tax is INR 1,85,000 (INR 20,000 + INR 40,000 + INR 60,000 + INR 65,000 at 20%), plus cess for INR 1,92,400, or INR 16,033 a month. Old regime with typical deductions (HRA on INR 25,000 rent, 80C and 80D) leaves INR 15.75 lakh taxable and INR 2,96,400 of tax. The old regime starts winning only around INR 7.5 lakh of total deductions at this salary. For a 20 LPA CTC, employer PF and gratuity come out first, leaving a gross of about INR 18.3 lakh. After your PF, professional tax and about INR 1.57 lakh of tax, the monthly in-hand is roughly INR 1.29 lakh. ## Worked example: Arjun has a home loan and senior parents Arjun owns his home, paying INR 2 lakh a year in interest, fills 80C and his own NPS, and insures his senior parents. His old-regime deductions reach INR 5.25 lakh and his tax is INR 2,65,200. The new regime still costs less at INR 1,92,400. New regime saves you INR 72,800 Tax: INR 1,92,400 a year, INR 16,033 a month New regime**INR 1,92,400** Old regime**INR 2,65,200** Effective rate**9.6%** Gross income INR 20,00,000 − Standard deduction INR 75,000 Taxable income INR 19,25,000 Tax on slabs INR 1,85,000 \+ Health & education cess (4%) INR 7,400 Total tax INR 1,92,400 The new regime is the default: you don't need to do anything to get it. [Load this example into the calculator ->](?hra=0&rent=0&ccd1b=50000&healthParents=50000&parentsSenior=1&homeLoan=200000#calculator) ## Good to know - At INR 20 lakh you're at the edge of the 25% band: income above INR 20.75 lakh is taxed at 25% in the new regime. - Employer NPS at 14% of a INR 10 lakh basic (INR 1.4 lakh) would save about INR 29,000 here. - Your marginal rate in the old regime is already 30%, which is why the old regime rarely wins. ## Frequently asked questions How much tax on INR 20 lakh salary in FY 2026-27? INR 1,92,400 in the new regime including 4% cess. In the old regime it depends on deductions; with HRA, 80C and 80D it's typically INR 2.6 lakh to INR 3 lakh. What is the in-hand salary for 20 LPA? About INR 1.29 lakh a month in the new regime, assuming basic at half of CTC, PF on full basic and gratuity inside CTC. If PF is capped at the INR 15,000 wage ceiling, it's nearer INR 1.38 lakh. How much deduction do I need for the old regime to win at INR 20 lakh? About INR 7.5 lakh of total deductions including the standard deduction. A home loan plus high metro rent can get there; 80C and 80D alone can't. ## Sources and assumptions - [Income Tax Department](https://www.incometax.gov.in/) - [Union Budget 2026-27](https://www.indiabudget.gov.in/) Rules and rates last checked on 25 October 2026. Results are estimates for planning and education, not tax, legal or investment advice. Kosh is an educational financial planning tool by Primedepth Labs. It is not a SEBI-registered investment adviser and does not offer personalised investment advice, hold your money or execute trades. Markets carry risk; read scheme documents carefully and consult a registered adviser before acting.