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Full record of all tax deductions in outdated and new regime for FY 2026-27 — 80C, 80D, HRA, NPS, dwelling mortgage, all sections defined primarily based on Funds 2026 modifications.

In my earlier article — New Tax Regime vs Previous Regime: Who Wins in 2026? — I confirmed you break-even tables, 5 case research with precise numbers, and a transparent income-level verdict on which regime saves extra tax.

However many readers got here again with one particular follow-up. “I would like the complete record of each deduction — part by part — so I can calculate my very own quantity.”

That’s precisely what this text is. A whole reference information to each deduction and exemption accessible for FY 2026-27 (AY 2027-28), up to date for Funds 2026, the Earnings Tax Act 2025, and the Draft Earnings Tax Guidelines 2026.

One necessary clarification earlier than we start. There are two separate issues at play this 12 months:

The Earnings Tax Act 2025 has obtained Presidential assent and comes into drive from 1st April 2026. That is confirmed legislation. It replaces the Earnings Tax Act 1961. Part numbers change. Deduction rules and limits stay the identical.

The Draft Earnings Tax Guidelines 2026 had been launched by CBDT on seventh February 2026 and canopy the allowance limits, perquisite valuations, and procedural guidelines below the brand new Act. These have been by public session and are anticipated to be formally notified earlier than 1st April 2026 — the Funds has been handed by each Homes of Parliament, Presidential assent is imminent, and gazette notification of the Guidelines is the ultimate remaining step. All main tax publications are treating these as efficient from FY 2026-27.

I’ve included all these modifications on this article. Wherever the change comes particularly from the Draft Guidelines (reasonably than the Act or Finance Invoice itself), I’ve added a quick word: “topic to official gazette notification of the Guidelines.” That one line protects you. As soon as the Guidelines are formally notified — which is predicted any day now — that caveat turns into irrelevant.

All Tax Deductions: Previous vs New Regime Full Checklist FY 2026-27

Half 1 — What Modified: Funds 2026 and Guidelines 2026

1. Earnings Tax Act 2025 Replaces the 1961 Act

From 1st April 2026, the Earnings Tax Act 2025 is the operative legislation. The acquainted part numbers — 80C, 80D, 80E, 80CCD — now not exist. Your Type 16 (now Type 130), ITR, and all official communications will use new part numbers. The deductions and their limits are equivalent — solely the numbering has modified.

Key renumbering related to deductions:

I’ll reference each outdated and new part numbers all through so you aren’t confused when your CA or employer makes use of an unfamiliar quantity.

2. “Tax Yr” Replaces “Monetary Yr” and “Evaluation Yr”

Beneath the brand new Act, “Monetary Yr” is now referred to as “Tax Yr.” The idea of a separate “Evaluation Yr” now not exists — revenue is taxed within the Tax Yr itself. So FY 2026-27 = Tax Yr 2026-27. I’ll proceed utilizing FY and AY on this article since most readers know these phrases.

3. Part 80TTB Raised to Rs.1 Lakh for Senior Residents

Probably the most important deduction change from Funds 2026. The curiosity revenue deduction for senior residents has been raised from Rs.50,000 to Rs.1 lakh per 12 months. Covers curiosity from financial savings accounts, FDs, recurring deposits, and submit workplace deposits. Accessible below outdated regime solely.

Sensible influence: A senior citizen with Rs.15 lakh in FDs at 7.5% earns Rs.1.12 lakh in annual curiosity. Beneath the outdated restrict, Rs.62,000 was taxable. Beneath the brand new Rs.1 lakh restrict, solely Rs.12,000 is taxable. A significant real-world saving.

4. TDS Threshold on Curiosity Doubled for Senior Residents

Banks won’t deduct TDS on curiosity till it crosses Rs.1 lakh per 12 months per financial institution for senior residents. Was Rs.50,000 earlier. Higher money circulate for retirees with a number of FDs.

5. Type 15H Centralised

Senior residents can now submit a single Type 15H by the NSDL or CDSL portal and it routinely applies to all linked banks. No extra separate submission at every financial institution.

6. No Change in Slabs, Normal Deduction, or 87A Rebate

All the following proceed unchanged:

• New regime slabs and Rs.4 lakh primary exemption
• Rs.75,000 commonplace deduction below new regime
• Rs.50,000 commonplace deduction below outdated regime
• Rs.60,000 Part 87A rebate — zero tax as much as Rs.12 lakh taxable revenue
• All 80C, 80D, NPS, HRA, dwelling mortgage deduction limits

Modifications from Draft Guidelines 2026 (Topic to official gazette notification — anticipated earlier than 1st April 2026)

Kids’s Training Allowance — 30x enhance From Rs.100/month/little one to Rs.3,000/month/little one (as much as 2 youngsters). Annual profit: Rs.72,000 for 2 youngsters. Unchanged since 1997. Previous regime solely.

Hostel Expenditure Allowance — 30x enhance From Rs.300/month/little one to Rs.9,000/month/little one (as much as 2 youngsters). Annual profit: Rs.2,16,000 for 2 youngsters in hostel. Previous regime solely.

Mixed training + hostel for 2 youngsters in hostel: Rs.2,88,000/12 months — in opposition to simply Rs.9,600 at the moment.

HRA — 50% Metropolis Checklist Expanded from 4 to eight Cities At present Mumbai, Delhi, Chennai, Kolkata qualify for 50% HRA exemption. From FY 2026-27: Bengaluru, Hyderabad, Pune, and Ahmedabad added. Workers in these 4 cities transfer from the 40% bracket to the 50% bracket for HRA calculation.

Impression: An individual in Bengaluru with Primary Rs.80,000/month will get further Rs.8,000/month (10% of Primary) in HRA exemption — Rs.96,000/12 months further. Previous regime solely.

Meal Vouchers — 4x enhance From Rs.50/meal to Rs.200/meal. Applies to subsidised meals by workplace canteen or meals vouchers (Sodexo, Pluxee, Zaggle and so forth.). Accessible below each outdated and new regimes — one of many few Draft Guidelines modifications that advantages new regime taxpayers too.

For an worker utilizing meal vouchers on all working days: roughly Rs.50,000–Rs.60,000/12 months in further exemption.

Employer Items — 3x enhance From Rs.5,000/12 months to Rs.15,000/12 months. Items, vouchers, and tokens from employer as much as this restrict should not taxable. Accessible in each regimes.

Employer Medical Mortgage — 10x enhance Curiosity-free loans from employer for therapy of specified ailments — from Rs.20,000 to Rs.2 lakh. Not taxable as perquisite as much as this restrict. Accessible in each regimes.

Employer Training Facility for Kids — elevated Training offered by employer (whether or not in employer-owned establishment or some other establishment) to worker’s youngsters — from Rs.1,000/month/little one to Rs.3,000/month/little one. This can be a perquisite rule — completely different from the Part 10(14) youngsters’s training allowance above.

Transport Allowance for Disabled Workers — main hike From Rs.3,200/month flat to:

• Metro cities: Rs.15,000/month + DA
• Different cities: Rs.8,000/month + DA Accessible in each regimes.

Automotive Perquisite Valuation — goes up (tax unfavourable) That is the one change that will increase tax legal responsibility. Month-to-month taxable perquisite values for employer-provided automobiles used partly for private functions have been revised upward — almost 3x in some circumstances. Impacts each regimes because it impacts taxable wage. In case your employer gives a automobile for private use, your taxable wage will likely be larger from FY 2026-27.

Half 2 — What You CAN Declare within the New Regime

The brand new regime just isn’t a zero-deduction regime. Right here is the entire confirmed record.

Normal Deduction — Rs.75,000 All salaried workers and pensioners. No documentation required. Rs.25,000 greater than outdated regime — one of many few areas the place new regime is definitively higher.

Employer NPS Contribution — Part 80CCD(2) [New Act: Section 124] Employer’s contribution to NPS Tier-1 — not included in taxable wage in each regimes:

• Non-public sector: As much as 14% of Primary + DA
• Authorities workers: As much as 14% of Primary + DA

No higher rupee ceiling. Most underused deduction within the new regime. Ask your HR to restructure CTC so a portion of employer contribution goes to NPS. Your employer’s price doesn’t change. Your taxable revenue reduces.

For a personal sector worker with Primary Rs.10 lakh, employer can route Rs.1 lakh to NPS. At 20% tax slab that saves Rs.20,800 per 12 months — with out you investing a single further rupee.

Dwelling Mortgage Curiosity on Let-Out Property — Part 24(b) Full curiosity paid — no ceiling. Each regimes. The Rs.2 lakh cap applies solely to self-occupied property and solely within the outdated regime.

Household Pension Deduction Decrease of Rs.25,000 or one-third of household pension obtained.

Part 80CCH — Agniveer Corpus Fund Each personal contribution and authorities’s matching contribution to Seva Nidhi — totally deductible. Each regimes.

Gratuity — Part 10(10)

• Authorities workers: Absolutely exempt
• Non-public sector (Gratuity Act lined): As much as Rs.20 lakh
• Non-public sector (not lined): Decrease of half month’s wage per 12 months of service or Rs.20 lakh

Depart Encashment at Retirement — Part 10(10AA)

• Authorities workers: Absolutely exempt
• Non-public sector: As much as Rs.25 lakh

VRS Compensation — Part 10(10C) Exempt as much as Rs.5 lakh.

Life Insurance coverage Maturity — Part 10(10D) Tax-free in each regimes topic to situations. Insurance policies issued after 1st April 2023 with annual premium above Rs.5 lakh — maturity proceeds taxable at slab charges.

Employer Contribution Cap — Rs.7.5 Lakh Mixed employer contribution to EPF + NPS + Superannuation tax-free as much as Rs.7.5 lakh per 12 months. Extra taxable. Each regimes.

Meal Vouchers — Rs.200/meal (Topic to official gazette notification of Guidelines) Accessible in each outdated and new regimes — one of many few draft rule modifications that advantages new regime taxpayers.

Employer Items — Rs.15,000/12 months (Topic to official gazette notification of Guidelines) Each regimes.

Employer Medical Mortgage — As much as Rs.2 Lakh (Topic to official gazette notification of Guidelines) Curiosity-free employer loans for specified illness therapy not taxable. Each regimes.

Transport Allowance — Disabled Workers (Topic to official gazette notification of Guidelines) Rs.15,000/month + DA (metro) / Rs.8,000/month + DA (others). Each regimes.

What Is NOT Accessible within the New Regime

No exceptions:

80C (Part 123), 80CCD(1B) personal NPS (Part 124), 80D (Part 126), 80DD (Part 127), 80DDB (Part 128), 80E (Part 129), 80EEA (Part 130), 80EEB (Part 131), 80G (Part 133), 80GG (Part 134), 80TTA, 80TTB, 80U, HRA — Part 10(13A), LTA — Part 10(5), Part 24(b) for self-occupied dwelling mortgage, skilled tax, youngsters’s training allowance, hostel allowance.

Half 3 — Full Previous Regime Deduction Checklist

Wage-Associated Exemptions

Normal Deduction — Rs.50,000 All salaried workers and pensioners.

HRA — Home Hire Allowance — Part 10(13A) Exempt quantity is the lowest of:

• Precise HRA obtained from employer
• Hire paid minus 10% of Primary wage
• 50% of Primary wage — for Mumbai, Delhi, Chennai, Kolkata, and from FY 2026-27: Bengaluru, Hyderabad, Pune, Ahmedabad (topic to gazette notification of Guidelines)
• 40% of Primary wage — all remaining cities

Sensible instance: Primary Rs.60,000/month, HRA Rs.25,000/month, Hire Rs.22,000/month in Bengaluru:

• Precise HRA = Rs.25,000
• Hire minus 10% of Primary = Rs.16,000
• 50% of Primary (new) = Rs.30,000 (vs 40% = Rs.24,000 earlier) Lowest = Rs.16,000/month = Rs.1,92,000/12 months on this instance. However for larger hire ranges, the 50% metropolis improve materially will increase the exempt quantity.

If you don’t obtain HRA from employer — see Part 80GG.

LTA — Depart Journey Allowance — Part 10(5) Precise transport prices (air/prepare/bus) inside India. Two journeys in a 4-year block. Present block: 2022–2025. Motels, meals, sightseeing not lined. Air journey — capped at financial system class fare for shortest route.

Kids’s Training Allowance — Part 10(14) From FY 2026-27: Rs.3,000/month/little one, as much as 2 youngsters (Rs.72,000/12 months for 2 youngsters). (Topic to official gazette notification of Guidelines. Present operative restrict: Rs.100/month/little one.) Previous regime solely.

Hostel Expenditure Allowance — Part 10(14) From FY 2026-27: Rs.9,000/month/little one, as much as 2 youngsters (Rs.2,16,000/12 months for 2 youngsters). (Topic to official gazette notification of Guidelines. Present operative restrict: Rs.300/month/little one.) Previous regime solely.

Meal Vouchers From FY 2026-27: Rs.200/meal not taxable. (Topic to official gazette notification of Guidelines. Present restrict: Rs.50/meal.) Accessible in each regimes.

Skilled Tax — Part 16(iii) Precise skilled tax deducted from wage. Sometimes Rs.2,400–Rs.2,500/12 months in Karnataka and Maharashtra.

Dwelling Mortgage — Part 24(b)

Self-Occupied Property As much as Rs.2 lakh/12 months on curiosity paid.

• Mortgage should be for buy or development — not restore (Rs.30,000 restrict)
• Building should full inside 5 years of mortgage — else restrict drops to Rs.30,000
• Joint homeowners with joint mortgage: every co-owner claims Rs.2 lakh independently — Rs.4 lakh for a pair
• Pre-construction curiosity: 5 equal instalments from 12 months development completes

Let-Out Property Full curiosity — no ceiling. Each regimes. Loss set off in opposition to different heads capped at Rs.2 lakh/12 months; steadiness carried ahead 8 years.

Chapter VI-A Deductions

Part 80C [New Act: Section 123] — Rs.1.5 Lakh Mixed Ceiling

All the following mixed — most Rs.1.5 lakh per 12 months:

• EPF — Personal contribution solely. Employer’s 12% individually exempt.
• PPF — 7.1% curiosity, tax-free. 15-year lock-in. No market threat.
• ELSS — 3-year lock-in. Market-linked returns. LTCG above Rs.1.25 lakh at 12.5%.
• Life Insurance coverage Premium — Pure time period or conventional with sum assured no less than 10x premium. Insurance policies after 1st April 2023 with premium above Rs.5 lakh — maturity taxable.
• Dwelling Mortgage Principal Compensation — Principal portion of EMI. Stamp responsibility and registration in buy 12 months additionally qualify.
• Sukanya Samriddhi Yojana (SSY) — Woman little one as much as age 10. At present 8.2%, tax-free together with maturity. Greatest below 80C.
• NSC — 5-year lock-in. At present 7.7%. Curiosity accrued every year (besides final) deemed reinvested — additionally qualifies as separate 80C deduction.
• 5-Yr Tax-Saving FD — Scheduled financial institution or submit workplace. 5-year lock-in. Curiosity is taxable.
• SCSS — For 60+. At present 8.2%. Most Rs.30 lakh.
• Tuition Charges — Full-time training in Indian college/faculty/college for as much as 2 youngsters. Solely tuition charges — not growth charges, transport, or donations.
• NPS personal contribution below Part 80CCD(1) — Inside Rs.1.5 lakh ceiling.

Part 80CCD(1B) [New Act: Section 124] — Extra NPS Rs.50,000 Over and above Rs.1.5 lakh ceiling. Personal NPS Tier-1 contribution solely. Previous regime solely. Mixed with 80C = Rs.2 lakh most on these fronts.

Part 80CCD(2) [New Act: Section 124] — Employer NPS Contribution Each regimes. Non-public sector: 10% of Primary + DA. Authorities: 14% of Primary + DA. No higher rupee ceiling.

Part 80D [New Act: Section 126] — Well being Insurance coverage Premium

Preventive well being check-up included inside limits — as much as Rs.5,000/12 months. May be paid in money. All different premiums should be non-cash.

Part 80DD [New Act: Section 127] — Disabled Dependent Partner, little one, dad or mum, or sibling with incapacity:

• Incapacity 40%+: Rs.75,000 flat — not expense-linked
• Extreme incapacity 80%+: Rs.1,25,000 flat Type 10-IA from licensed medical authority required.

Part 80DDB [New Act: Section 128] — Specified Illness Therapy Precise therapy bills for self or dependent:

• Beneath 60: As much as Rs.40,000
• Senior residents: As much as Rs.1 lakh

Qualifying ailments: neurological situations (dementia, Parkinson’s, motor neuron illness, ataxia, chorea, aphasia), malignant cancers, full-blown AIDS, persistent renal failure, haemophilia, thalassemia. Certificates from specialist at authorities hospital required.

Part 80E [New Act: Section 129] — Training Mortgage Curiosity

• No higher restrict on deduction
• 8 consecutive years from 12 months reimbursement begins — or till totally repaid
• Mortgage from financial institution, monetary establishment, or accepted charitable establishment solely — not household
• Greater training (any course after Class 12) — self, partner, youngsters, or authorized ward. India or overseas.

Most underappreciated deduction in the whole tax code. For Rs.25 lakh mortgage at 10%, annual curiosity of Rs.2–2.5 lakh is totally deductible. No ceiling in any respect.

Part 80EEA [New Act: Section 130] — Reasonably priced Housing Dwelling Mortgage Extra Rs.1.5 lakh on curiosity over Part 24(b), if:

• Mortgage sanctioned: 1st April 2019 to thirty first March 2022
• Stamp responsibility worth: Not above Rs.45 lakh
• No different residential property on date of sanction Window closed for brand new loans. Present eligible debtors proceed claiming till 8-year restrict.

Part 80EEB [New Act: Section 131] — EV Mortgage Curiosity As much as Rs.1.5 lakh. Loans sanctioned 1st April 2019 to thirty first March 2023. Closed for brand new loans.

Part 80G [New Act: Section 133] — Donations

• 100% with out restrict: Nationwide Defence Fund, PM Nationwide Reduction Fund, Nationwide Kids’s Fund, Clear Ganga Fund, Swachh Bharat Kosh
• 50% with out restrict: PM Drought Reduction Fund, Jawaharlal Nehru Memorial Fund
• 100% with 10% of adjusted gross revenue ceiling: Accredited analysis associations, accepted universities
• 50% with 10% ceiling: All different accepted charitable establishments Donations above Rs.2,000 should be non-cash.

Part 80GG [New Act: Section 134] — Hire With out HRA In the event you pay hire however no HRA from employer, or self-employed. Lowest of:

• Rs.5,000/month (Rs.60,000/12 months)
• 25% of whole revenue
• Hire paid minus 10% of whole revenue

Situation: You, your partner, or minor little one shouldn’t personal a home at place of employment.

Part 80TTA — Financial savings Account Curiosity Non-senior residents solely. As much as Rs.10,000/12 months on financial savings account curiosity. Banks, cooperative banks, submit workplace. FD curiosity doesn’t qualify.

Part 80TTB — Senior Citizen Curiosity Earnings — RAISED IN BUDGET 2026 For 60+. Raised from Rs.50,000 to Rs.1 lakh per 12 months — Funds 2026 confirmed change. Covers financial savings accounts, FDs, recurring deposits, submit workplace deposits. Replaces 80TTA for senior residents.

Part 80U — Self with Incapacity

• Incapacity 40%+: Rs.75,000
• Extreme incapacity 80%+: Rs.1,25,000 Certificates from medical authority required.

Full Abstract Desk

Rows marked * are from Draft Earnings Tax Guidelines 2026. The Earnings Tax Act 2025 has obtained Presidential assent. The Guidelines are anticipated to be formally notified earlier than 1st April 2026, topic to gazette notification.

Tips on how to Use This Article –

Step 1: Undergo the outdated regime column and mark each deduction that genuinely applies to your state of affairs.

Step 2: Use your precise numbers — not the utmost limits. Your HRA exemption is formula-based. Your 80D is dependent upon precise premium. Your 80C is dependent upon what you truly make investments.

Step 3: Subtract Rs.50,000 (outdated regime commonplace deduction). This provides your internet deduction past commonplace.

Step 4: Go to the break-even desk in New Tax Regime vs Previous Regime: Who Wins in 2026? and verify whether or not your whole crosses the edge to your revenue degree.

Step 5: If it crosses, calculate precise tax below each regimes. If not, new regime wins — go together with it.

That 30-minute train may prevent Rs.20,000 to Rs.1 lakh this 12 months.

Notice: All deductions mirror provisions of the Earnings Tax Act 2025 and Finance Invoice 2026, relevant from FY 2026-27 (AY 2027-28). The Earnings Tax Act 2025 has obtained Presidential assent and is in drive from 1st April 2026. Gadgets marked * are from the Draft Earnings Tax Guidelines 2026 launched by CBDT on seventh February 2026 — Finance Invoice 2026 has been handed by each Homes of Parliament and these guidelines are anticipated to be formally notified earlier than 1st April 2026 through gazette notification. Previous part numbers from the 1961 Act are included alongside new Act numbers for reference. The 80TTB enhance to Rs.1 lakh is a confirmed Funds 2026 change. Please seek the advice of a certified tax skilled for recommendation particular to your state of affairs.