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INDIAN INCOME TAX | UPDATED OCTOBER 2026

Chapter VI-A Income Tax Deductions: Sections 80C to 80U Explained

Chapter VI-A of the Income-tax Act, 1961 provided deductions from gross total income for eligible investments, payments, expenses, donations and specified earnings. This reference explains the key sections, revised limits, eligibility and how the choice of tax regime affects a claim.

Important legal update: The Income-tax Act, 2025 applies to tax years beginning on or after 1 April 2026. The familiar section numbers 80C to 80U below refer to the Income-tax Act, 1961 and remain relevant to earlier assessment years and historical returns. For tax year 2026-27 onward, consult the corresponding provisions of the 2025 Act and current rules; do not assume that old section numbering is unchanged.

What are Chapter VI-A deductions?

A deduction reduces eligible gross total income to arrive at taxable total income. Under section 80B(5) of the 1961 Act, gross total income means total income computed before Chapter VI-A deductions. Section 80A limited aggregate deductions to gross total income, so deductions cannot by themselves create a negative taxable income. Section 80AB generally restricted specified income-based deductions to the income computed under the Act and included in gross total income.

Section 80AC imposed timely-return-filing requirements for prescribed deductions; taxpayers should verify the applicable due date and claim conditions for the relevant assessment year. Section 35AD and certain profit-linked Chapter VI-A deductions cannot be claimed twice for the same specified business benefit.

Old versus new tax regime

For assessment year 2026-27 under the 1961 Act, the new tax regime under section 115BAC generally did not permit popular deductions such as sections 80C, 80D, 80DD, 80G and 80TTA. Notable permitted Chapter VI-A deductions included eligible employer pension contributions under section 80CCD(2), section 80CCH and section 80JJAA, where applicable. The old regime allowed a wider range of deductions subject to conditions. Regime selection and switching rules differ for taxpayers with business income.

For later tax years governed by the Income-tax Act, 2025, check the corresponding regime provisions and return instructions before making any claim.

Overview of important deductions

Provision under the 1961 ActPurpose and key conditions
Section 80CSpecified savings, insurance premiums, provident fund, eligible tuition fees and housing-loan principal; combined section 80CCE ceiling generally Rs. 1,50,000.
Section 80CCCEligible annuity pension contributions; part of the combined Rs. 1,50,000 ceiling.
Section 80CCDNPS or qualifying pension contributions: employee/self-contribution under subsection (1), additional up to Rs. 50,000 under (1B), and eligible employer contributions under (2), subject to the applicable limits.
Section 80CCHSpecified contributions to the Agniveer Corpus Fund.
Section 80DEligible medical insurance premiums and specified health expenditure; limits depend on insured persons and age.
Section 80DDMaintenance or treatment of a dependent person with disability; fixed deductions of Rs. 75,000 or Rs. 1,25,000 for severe disability, subject to certification.
Section 80DDBSpecified disease treatment expenditure, subject to actual expenditure, reimbursement adjustments and prescribed ceilings.
Section 80EEligible interest paid on a higher-education loan, generally for the specified eight-year period.
Section 80EE / 80EEA / 80EEBAdditional deductions for qualifying housing-loan interest or electric-vehicle loan interest, subject to original sanction-date and other statutory conditions.
Section 80GEligible donations to approved funds and institutions, with 50% or 100% treatment and qualifying limits where applicable.
Section 80GGRent paid by eligible persons not receiving qualifying house rent allowance; statutory calculation and declaration apply.
Section 80GGAQualifying donations for scientific research and rural development, subject to business-income and payment restrictions.
Section 80GGB / 80GGCQualifying non-cash contributions to political parties or electoral trusts, subject to the applicable statutory rules.
Section 80IA / 80IAB / 80IB / 80IC / 80ID / 80IESpecified profit-linked incentives for infrastructure, SEZ developers, eligible industries, hotels and designated regions; many entry windows have expired, so check the commencement date.
Section 80JJAEligible profits from collecting, processing or treating biodegradable waste, for the prescribed period.
Section 80JJAAQualifying additional employee cost, generally 30% for three years, subject to statutory employment and audit conditions.
Section 80LASpecified income of eligible offshore banking units and International Financial Services Centre units.
Section 80PSpecified income of qualifying co-operative societies; restrictions apply to co-operative banks and certain entities.
Section 80QQB / 80RRBEligible royalty income of resident authors and patent holders, respectively, subject to conditions and Rs. 3,00,000 caps.
Section 80TTA / 80TTBEligible deposit interest: up to Rs. 10,000 on savings interest under 80TTA; up to Rs. 50,000 on specified interest for eligible senior citizens under 80TTB.
Section 80UResident individual with certified disability: Rs. 75,000 or Rs. 1,25,000 for severe disability.

Older or time-limited profit-linked deductions

Sections 80HH, 80HHA, 80HHB, 80HHBA, 80HHC, 80HHD, 80HHE, 80HHF, 80I, 80O, 80Q, 80QQA, 80R, 80RR and 80RRA concern historical, omitted or time-limited incentives. They should not be treated as currently open deductions merely because older articles list them. Similarly, provisions such as 80CCA, 80CCB and 80CCG require checking their historical applicability. The original article also covers these sections; its detailed internal references are retained below for archival reading.

Example: deductions under the old regime

Suppose an eligible individual has gross total income of Rs. 9,00,000 and makes qualifying section 80C investments of Rs. 1,70,000, pays eligible section 80D health insurance premium of Rs. 25,000, and contributes an additional Rs. 50,000 to NPS qualifying under section 80CCD(1B). Assuming all statutory conditions are satisfied and the old regime is applicable, the section 80C deduction is capped at Rs. 1,50,000, while the other two deductions may be considered separately. Total eligible deductions would be Rs. 2,25,000 and income after these deductions Rs. 6,75,000, before any other adjustments. This example is illustrative and not a tax calculation for a particular year.

Documents and filing checks

  • Confirm the tax year, governing Act, chosen tax regime and return-filing deadline.
  • Retain policy receipts, provident fund or NPS statements, loan-interest certificates and medical insurance records.
  • For donations, check donee eligibility, reporting requirements and applicable receipt or certificate details.
  • For disability or specified medical deductions, obtain the prescribed medical certificate and relevant expenditure records.
  • For business deductions, retain audited accounts, employee details and prescribed reports or certifications.
  • Check any combined caps, disallowed cash payments and double-deduction restrictions.

Official legislation and guidance

Detailed section-wise guides and historical references

The following internal articles were linked from the original guide. Some describe superseded limits or discontinued incentives; confirm the operative law before relying on them.

Frequently asked questions

Can Chapter VI-A deductions exceed gross total income?

No. Under section 80A of the 1961 Act, the aggregate deduction cannot exceed gross total income.

Is the section 80C limit Rs. 1,00,000 or Rs. 1,50,000?

For relevant later years under the 1961 Act, the general combined ceiling under section 80CCE for sections 80C, 80CCC and 80CCD(1) is Rs. 1,50,000. The older Rs. 1,00,000 amount shown in historical material is outdated.

Can I claim section 80D in the new tax regime?

Generally no under the section 115BAC new regime of the 1961 Act. Confirm the relevant year's regime and current law before filing.

Are employer NPS contributions deductible in the new regime?

Eligible employer contributions under former section 80CCD(2) could qualify even in the new regime, subject to the applicable salary percentage and other statutory conditions.

Are all historical sections 80HH to 80RR still available?

No. Many have been omitted, discontinued or limited to eligible projects started during specific periods. Their historical descriptions do not establish current eligibility.

General educational information only. Actual eligibility depends on the applicable tax year, law, regime and facts.