Chapter VI-A Deductions — FAQs

Max Your Tax Savings – All About Chapter VI-A Deductions (80C, 80D, 80G)

Chapter VI-A deductions (Sections 80C to 80U) contain the most commonly used income-tax deductions in India — for investments, insurance, health, education, disability, donations and more. The following FAQs explain which payments and investments qualify, limits, special conditions, how to claim deductions in your ITR and practical filing tips.

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Frequently Asked Questions-Chapter VI-A Deductions

Chapter VI-A (Sections 80C to 80U) lets taxpayers reduce their taxable income by claiming deductions for specified investments and payments (e.g., 80C, 80D, 80G). These deductions directly lower your taxable income and save tax.

Deductions under Section 80C (includes PPF, EPF, life insurance premiums, ELSS, NSC, principal repayment of home loan, tuition fees etc.) are available up to ₹1,50,000 in aggregate in a financial year. This combined limit is widely used for tax planning.

You can claim deduction for preventive health insurance premiums paid for yourself, spouse and dependent children and for your parents. Limits (as on Nov 2025):

  • Self, spouse & dependent children — up to ₹25,000 per year.
  • If the taxpayer or spouse is a senior citizen (≥ 60 years) — limit increases to ₹50,000.
  • For parents: additional deduction of ₹25,000 if parents are non-senior, or ₹50,000 if parents are senior citizens.
  • Preventive health check-up expenses are allowed within these limits (up to ₹5,000 included in the overall cap).

Keep premium receipts and insurer premium certificates. (Limits are updated for FY 2024-25 / as on Nov 2025 — confirm on the Income Tax Department page for later years). Income Tax Department+1

Donations to specified funds and charitable organisations may be deductible under Section 80G. The deductible quantum depends on the category of the donee (100% or 50%, with or without qualifying limits).

Important compliance rules (must-know):

  • Cash donations of more than ₹2,000 are not eligible for deduction under Section 80G. Donations above ₹2,000 must be made by non-cash modes (cheque/online/RTGS/NEFT/credit card) to qualify.
  • For claims above specified thresholds you should record the donee’s PAN / registration number on the receipt; keep the official 80G receipt and the donee’s registration details.

Always retain the donation receipt (with donee PAN and registration clause) and proof of payment. (Rule / practice: cash > ₹2,000 ineligible — verify donee registration for the applicable clause)..

Interest paid on an education loan for higher education for self, spouse or children is deductible under Section 80E for a limited number of years from the year the loan repayment begins. Principal repayment is not covered under 80E (but may be under 80C in some cases). Check official rules.

Employee & self-employed contributions to NPS qualify under 80CCD(1) within the overall 80C limit; employer contributions are eligible under 80CCD(2) (separate) and an additional deduction under 80CCD(1B) (subject to limits) is often available — check the ITR guidance and new regime exceptions.

Under the new tax regime (Section 115BAC) most Chapter VI-A deductions are not available unless specifically allowed (e.g., certain employer contributions). Taxpayers should compare old vs new regime before selecting — official FAQs explain the exact exceptions applicable for AY 2024-25 onward

Section 80TTA/80TTB provide deductions for interest on savings bank deposits (80TTA for non-senior citizens; 80TTB gives higher benefits for senior citizens covering interest on deposits and saving accounts). Verify limits and applicability based on your age and income.

Sections 80DD / 80U provide deductions for specified disability and 80DDB covers medical treatment for certain critical illnesses. Specific conditions, certificates and limits apply; retain medical certificates and bills as evidence.

If you do not receive HRA and meet conditions, Section 80GG may provide deduction for rent paid subject to limits and conditions (such as no self/Spouse/Minor child ownership in residence within the city). Keep rent receipts and declarations.

Principal repayment and certain stamp duty/registration fees may be claimable under Section 80C (subject to the 80C cap). Interest on home loan is claimed under Section 24 (head: Income from House Property) — both need supporting documents: bank statements, loan repayment schedule and stamp duty receipts.

Keep these documents (at least soft/hard copies) for verification:

  • Investment receipts: PPF, ELSS statements, NSC certificates, LIC premium receipts.
  • Insurance premium receipts / insurer certificate (for 80D).
  • Donation receipts with donee PAN / 80G registration clause and non-cash proof if > ₹2,000.
  • Tuition fee receipts, bank statements for interest and equity SIPs, loan interest & principal statements, and proof of stamp duty/registration (for home purchase).
  • Medical bills and certificates for 80DDB/80DD claims.
  • Keep the above for at least the assessment year plus the statutory scrutiny window.

Certain deductions and benefits (for example, carry-forward of losses) may require timely filing. In general, claim deductions in the return filed within due date and keep proofs; if filing belated returns check statutory consequences.

Donations are not shown in Form 26AS automatically; you must retain receipts and claim under 80G in ITR with accurate details (donee name, PAN, amount, and certificate). For high-value donations, cross-check donee’s registration and acknowledgement.

If you rely on Chapter VI-A deductions (80C, 80D, 80G etc.), the old regime may be more beneficial. If you have few or no VI-A deductions and prefer lower slab rates without claiming deductions, the new regime can suit better — always run a comparison using official calculators or tools.

Use the appropriate schedules in your ITR (Schedule VI-A / tax-saving schedules) to report deduction amounts section-wise (80C, 80D, 80G etc.). Accurate section-wise entry ensures correct tax computation and audit trail.

Pro-Tips

  • Use the full 80C limit: If you can, fill the ₹1,50,000 80C basket across PPF, ELSS and principal repayment — this is the most reliable tax saving. (Source: Income Tax India)
  • Buy family health cover early: 80D can save tax and protect finances; premiums for parents are especially valuable if they are senior citizens. Income Tax Department
  • Verify 80G donee status: Only donations to notified institutions qualify fully/partly — check donee registration before donating. Income Tax India
  • Plan loan/tuition payments: Time payments (e.g., tuition fees) to maximize claim in the desired financial year.
  • Compare regimes each year: Re-compute old vs new regime before filing — small life changes can swing the optimal choice. Income Tax Department

Quick Checklist before filing

  1. Collate receipts: PPF, ELSS, LIC, tuition fees, insurance, donation receipts.
  2. Verify PAN of donee for donations > ₹2,000/ or as required.
  3. Reconcile premiums/interest with Form 26AS / AIS.
  4. Enter section-wise amounts in Schedule VI-A in ITR.
  5. Compare old vs new tax regimes (use official calculators). Income Tax India

Related Resources

From 80C to 80U – Your Complete Guide to Chapter VI-A Deductions

Smart Tax Planning 2025: Everything You Need to Know About Chapter VI-A Deductions

Sources

Disclaimer: These FAQs summarise Chapter VI-A deductions for general informational purposes using official Income-Tax Department guidance (Finance Act 2025 updates). They are not a substitute for professional advice. For case-specific guidance, consult the Income-Tax Department or a qualified Chartered Accountant.