Finance Minister Nirmala Sitharaman introduced a new income tax regime for the first time while presenting the Budget 2020 with lower rate on income (u/s 115 BAC of the Income Tax Act 1961). This paper aims to analyze the individual taxpayer preference between the Old Tax Regime and New Tax Regime and evaluate the benefit analysis on the basis of comparison between the two systems. After examining various situations, it is evident that both tax systems have their advantages and disadvantages. The taxpayer opting for concessional rates in the New Tax Regime is a good option for the individuals who have just started their work and have a lower income and also good for the individual who does not have much savings. Old tax regime inculcates the practice of investing in an individual for reducing tax burden. The study confides that tax saving would be nethermost in New system of taxation Regime. This paper highlights the awareness and understanding of taxpayers towards the new tax regime.