Saving tax legally isn't about loopholes; it's about using the deductions the government deliberately offers. Here are ten that most Indian taxpayers can use, whichever regime you choose.
1. Max out Section 80C
Up to ₹1.5 lakh a year through PPF, ELSS funds, life insurance, EPF, or tuition fees. It's the biggest single lever for most people. Use our PPF calculator to see how it grows.
2. Claim 80D for health insurance
Premiums for yourself and family (and extra for senior-citizen parents) are deductible, a rare case where protecting yourself also cuts your tax.
3. Use NPS for an extra ₹50,000
Section 80CCD(1B) gives an additional deduction over and above 80C for National Pension System contributions.
4. Home-loan interest under Section 24
Interest on a home loan for a self-occupied property is deductible up to ₹2 lakh a year, often the largest deduction for homeowners.
5. Compare the two regimes first
The new regime has lower rates but few deductions; the old regime rewards those with big deductions. Run your numbers in our income tax calculator before you decide. It tells you which one actually saves you more.
The rest
Also worth knowing: HRA exemption if you pay rent, 80E for education-loan interest, 80G for eligible donations, 80TTA/80TTB for savings interest, and the standard deduction that applies automatically to salary. Plan in April, not March. Rushed tax-saving usually means worse choices.