New Delhi, July 2 -- For salaried taxpayers, choosing between the old and new tax regimes remains one of the most important decisions while filing income tax returns. While the new regime offers lower tax rates with fewer deductions, the old regime allows taxpayers to reduce their taxable income by claiming exemptions such as House Rent Allowance (HRA), deductions under Section 80C, health insurance premiums and home loan interest.

For someone earning Rs.25 lakh annually, the new regime is likely to result in a lower tax bill in most cases. However, taxpayers with substantial deductions, such as House Rent Allowance (HRA), home loan interest, investments under Section 80C and health insurance premiums, may still find the old regime more ...