The most popular tax-saving section under the Income Tax Act. It encourages savings and investments by allowing deductions up to ₹1,50,000 per year for individuals and HUFs.
Who can claim?
- Individuals
- Hindu Undivided Families (HUFs)
- Not available to companies, partnership firms, or LLPs
Eligible Investments
- Life Insurance Premium
- Equity Linked Savings Scheme (ELSS)
- Employee Provident Fund (EPF)
- Public Provident Fund (PPF)
- Principal repayment on Home Loans
- Tuition Fees for Children (up to 2)
- National Saving Certificate (NSC)
- Sukanya Samriddhi Account
- Fixed Deposit (Tax Savings, 5 years)
- National Pension Scheme (NPS)
- Post Office Time Deposits
- Annuity / Pension Schemes
This guide reflects FY 2025-26 (AY 2026-27) and is for general information. Tax rules and limits change, and how they apply depends on your circumstances. It is not professional tax advice; consult a qualified Chartered Accountant before acting.
