All Deduction and Exemption available for a Salaried person



 These are some typical deductions under Indian tax regulations that are available to salaried individuals as of my last knowledge update. Remember that tax laws might change, therefore for the most recent information, it's best to speak with a tax expert or review the most recent tax regulations:


Standard Deduction: 

Before determining their taxable income, salaried individuals in India are entitled to a standard deduction, which is a set sum withheld from their salary income.



House Rent Allowance (HRA):

Employees receive a House Rent Allowance (HRA) to help with their rental costs. The real HRA exemption is determined by subtracting 10% of pay from actual rent paid, 50% of salary for residents of metro areas and 40% of salary for those who do not, or the actual HRA received.


Section 80C Deductions: Individuals may deduct a range of costs and investments under Section 80C, including:

  • Premiums for life insurance
  • Provident Fund for Employees (EPF)
  •  Public Provident Fund contributions (PPF) Contributions
  • Certificate of National Savings (NSC)
  • Scheme for Equity-Linked Savings (ELSS)
  • Principal Repayment of Home Loans
  • Children's Education Tuition Fees

  1. Section 80D Deductions:

  2. Premiums paid for health insurance policies covering the individual, spouse, children, and parents are eligible for deductions under Section 80D.


  1. Section 80E Deductions:

  2. Interest on education loans for higher studies is eligible for deduction under Section 80E.


  1. Section 24 Deductions:

  2. Interest paid on home loans is eligible for deduction under Section 24. The maximum deduction is allowed up to a certain limit.


  1. Professional Tax:

  2. The professional tax deducted by the employer can be claimed as a deduction.


  1. Transport Allowance:

  2. Up to a certain limit, the transport allowance received by the employee can be claimed as a deduction.


  1. NPS (National Pension System) Contributions:

  2. Contributions made by the employee to the NPS are eligible for deductions under Section 80CCD (1) and (1B).


  1. Leave Travel Allowance (LTA):

  2. LTA can be claimed for expenses incurred on travel within India, subject to certain conditions.


  1. Gratuity:

  2. If an employee receives gratuity, it may be exempt from tax up to a certain limit, based on the provisions of the Income Tax Act.



Thanks & Regards 

Anuj Kumar Tomar

Mob No : 9899097490