Section 80C limit is just ₹1.5 lakh — many Indians stop planning there. In reality, old-regime taxpayers can often stack several more sections and save large tax if they qualify. (New regime: most deductions don’t apply — compare regimes first.)
80C is not the only deduction
Reality check
You can sometimes claim several lakhs beyond 80C if eligible — especially 80D + 24B + NPS extra window — which can change effective tax materially at the 30% slab.
Section 80C (₹1.5L limit)
- EPF (employee contribution), PPF, ELSS, life insurance premium (limits apply), home loan principal (eligible housing), tuition fees (rules), NSC/SCSS/SSY where applicable.
Section 80D (₹25,000–₹75,000)
Self + family health insurance commonly up to ₹25,000; additional amounts for parents depending on age (often ₹25,000 if parents <60 and ₹50,000 if 60+ in many filings). Preventive check-ups can count within sub-limits. Max illustration often discussed ~₹75,000/year.
Section 80CCD(1B) — NPS extra
Additional ₹50,000 beyond 80C for NPS Tier-I (within eligibility rules). At 30% slab, that can be ~₹15,000 tax saved — plus market-linked growth/discipline.
Section 24B — home loan interest
Self-occupied interest deduction commonly capped at ₹2,00,000/year (verify current year). Joint owners may each claim within rules if loan + ownership align.
Section 80E — education loan interest
Section 80E gives a deduction for interest on a qualifying education loan for higher education — subject to an 8-consecutive-year window and other conditions in law. Eligibility is narrow: it is meant for specified education loans for certain borrowers (commonly discussed for the borrower’s own higher education in typical salaried examples) — do not assume children’s loans automatically qualify; verify with a CA.
80TTA / 80TTB
80TTA: savings account interest deduction up to ₹10,000 for eligible assessees below senior thresholds. 80TTB: senior citizens may claim higher deduction on specified interest income — verify current caps.
Maximum deduction illustration (old regime)
Illustrative stack: 80C ₹1,50,000 + 80D ₹75,000 + 80CCD(1B) ₹50,000 + 24B ₹2,00,000 = ₹4,75,000. At 30% slab, ₹4.75L × 30% ≈ ₹1,42,500 tax saved — only if you truly qualify for each line.
A practical priority order
- 1) Use 80CCD(1B) if NPS fits your lock-in needs.
- 2) Buy adequate health cover and claim 80D cleanly.
- 3) Fill 80C with lowest-cost, goal-aligned tools (often ELSS/PPF/EPF).
- 4) Home buyers: capture 24B via lender certificates.
- 5) Education loan: don’t forget 80E if applicable.
Finkoin tip
Finkoin’s tax calculator shows old vs new regime savings for your exact income and deductions — use it before committing to ELSS-only “March panic”.
Try it on Finkoin →FAQs
Clear answers in plain language. Educational guidance only.