From April 1, 2026, India's six-decade-old Income Tax Act of 1961 has been replaced by the new Income Tax Act, 2025. While the core tax rates remain the same, the way you file returns, claim deductions, and understand your salary structure has changed significantly. This guide covers every change that matters for salaried employees — what is different, what stays the same, and what you need to do about it. The Big Picture: What Changed and What Did Not Area Changed? Details Tax Slabs No change Same slabs as announced in Budget 2025 Tax Rates No change Rates remain identical under both regimes Standard Deduction No change ₹75,000 for salaried individuals (new regime) Tax Law Itself Replaced entirely Income Tax Act 1961 → Income Tax Act 2025 Terminology Changed "Financial Year" + "Assessment Year" → single "Tax Year" HRA Exemption Expanded 50% HRA now covers 8 cities instead of 4 Salary Structure Changed B...