# Income Tax Deductions in India: 80C, 80D, 80CCD, HRA & 24(b)

> A plain-English guide to the main income tax deductions in India, what each section covers, and how they interact with your regime choice.
- **Published**: 2026-08-16
- **Modified**: 2026-08-16
- **Category**: tax-planning
- **URL**: https://www.tldr.money/articles/tax-planning/income-tax-deductions-guide

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Start with the full [tax planning in India](/tax-planning) guide for slab context, then use this page to map your deductions. Most of these deductions apply under the old regime, so pair this with [new vs old tax regime](/articles/tax-planning/new-vs-old-tax-regime-fy2026-27) before you decide.

## Deductions decide your regime

Regime selection is a deduction math problem. If your eligible deductions are materially above your breakeven threshold, the old regime often wins. Run both computations in the [income tax calculator](/tools/income-tax-calculator) before filing, because guessing is expensive either way.

## The main deductions at a glance

| Section | Covers | Who it helps |
|---|---|---|
| 80C | Life insurance premiums, EPF/PPF, ELSS, principal on home loan, and more | Almost every salaried taxpayer |
| 80D | Health insurance premiums and preventive check-ups | Anyone paying medical cover premiums |
| 80CCD(1B) | Additional NPS contribution over the 80C limit | Long-horizon retirement savers |
| HRA | House rent paid, subject to salary and city rules | Salaried renters |
| 24(b) | Interest paid on a home loan | Home-loan borrowers |

Exact limits change with each Budget, so confirm current-year figures before you file.

## The deductions in plain English

### Section 80C -- the anchor deduction
80C bundles many popular instruments: EPF and PPF, ELSS mutual funds, life insurance premiums, five-year tax-saver deposits, and home-loan principal. It is capped as a combined limit, so spreading money across several 80C options does not raise the ceiling. Pick instruments that also fit your goals, not just the deduction.

### Section 80D -- health insurance
Premiums for [health insurance](/health-insurance) qualify under 80D, with a separate, higher allowance when you also cover senior-citizen parents, plus a small sub-limit for preventive check-ups. This is one of the cleanest deductions because you are buying protection you should hold anyway.

### Section 80CCD(1B) -- extra NPS room
This gives an additional deduction for NPS contributions over and above the 80C limit. It suits savers comfortable locking money for retirement in exchange for the extra tax break.

### HRA -- for renters
If you receive a House Rent Allowance and pay rent, HRA exemption can be significant. The exempt amount is the lowest of three formula values tied to your salary, rent, and city, so keep rent receipts and, where required, the landlord's PAN.

### Section 24(b) -- home-loan interest
Interest paid on a home loan is deductible under 24(b), with different treatment for self-occupied versus let-out property. Pair it with the 80C principal benefit for the full home-loan picture.

## Other deductions worth knowing

- **80TTA / 80TTB** on savings-account and deposit interest, with a higher limit for senior citizens.
- **80E** on interest paid on an education loan.
- **80G** on eligible donations.

## How to actually use this

1. List every deduction you genuinely qualify for this year.
2. Total them and compare against your regime breakeven in the [income tax calculator](/tools/income-tax-calculator).
3. Choose the regime that leaves more in your pocket, then keep proof for each claim.

Insurance-linked deductions connect directly to [health insurance](/health-insurance) and [term life insurance](/term-life-insurance), so plan those purchases and your filing together rather than in a February rush.
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