Here is the summary of some important exemptions & deductions under New Tax Regime for Fy 2024-25:-
Particulars | Old Tax Regime | New Tax regime (For FY 2024-25)(AY 2025-26) | Remarks (If any) |
Basic Exemption Limit | (a) ₹ 250000 (others) (b) ₹ 300000 (Senior Citizen) (c) ₹ 500000 (Super Senior Citizen) | ₹ 3 Lakh (for all) | See Detailed Slab Rate |
Income level for rebate eligibility | ₹ 5 lakhs | ₹ 7 lakhs | |
Standard Deduction | ₹ 50,000 | ₹ 75000 | |
Effective Tax-Free Salary income | ₹ 5.5 lakhs | ₹ 7.5 lakhs | |
Rebate u/s 87A | 12,500 | 25000 | |
The deduction under Section 80TTA/80TTB | 10000 / 50000 | X | |
Professional tax and entertainment allowance on salaries | ✓ | X | |
Allowances to MPs/MLAs | ✓ | X | |
Minor child income allowance | ✓ | X | |
Helper allowance | ✓ | X | |
Children education allowance | ✓ | X | |
Other Chapter VI-A deductions | ✓ | X | |
HRA Exemption | ✓ | X | |
Leave Travel Allowance (LTA) | ✓ | X | |
Other allowances including food allowance of Rs 50/meal subject to 2 meals a day | ✓ | X | |
Interest on Home Loan u/s 24b on self-occupied or vacant property | ✓ | X | |
Interest on Home Loan u/s 24b on let-out property | ✓ | ✓ | |
Deduction u/s 80C (EPF|LIC|ELSS|PPF|FD|Children’s tuition fee etc) | ✓ | X | |
Medical insurance premium – 80D | ✓ | X | |
Disabled Individual – 80U | ✓ | X | |
Interest on education loan – 80E | ✓ | X | |
Interest on Electric vehicle loan – 80EEB | ✓ | X | |
Donation to Political party/trust etc – 80G | ✓ | X | |
Other Chapter VI-A deductions | ✓ | X | |
Other special allowances [Section 10(14)] | ✓ | X | |
Additional depreciation under section 32(1)(iia) | ✓ | X | |
Various deductions for donation for or expenditure on scientific research contained in section 35(2AA) or 35(1)(ii) or (iia) or (iii) | ✓ | X | |
Deduction under section 35AD or section 35CCC | ✓ | X | |
Section 80JJAA of the Income Tax Act allows eligible businesses to claim a 30% deduction on additional employee recruitment costs for three consecutive assessment years | ✓ | ✓ | |
Donation to Political party/trust, etc | ✓ | X | |
Deductions under section 32AD, 33AB, 33ABA | ✓ | X | |
Employee’s (own) contribution to NPS (80CCD (1) & 80CCD(1B)) | ✓ | X | |
Employer’s contribution to NPS (80CCD (2)) | Max 10% | Max 14% | |
Perquisites for official purposes | ✓ | ✓ | |
All contributions to Agniveer Corpus Fund – 80CCH | ✓ | ✓ | |
Gifts up to Rs 50,000 | ✓ | ✓ | |
Exemption on voluntary retirement 10(10C) | ✓ | ✓ | |
Exemption on gratuity u/s 10(10) | ✓ | ✓ | |
Exemption on Leave encashment u/s 10(10AA) | ✓ | ✓ | |
Daily Allowance | ✓ | ✓ | |
Transport Allowance for a specially-abled person | ✓ | ✓ | |
Conveyance Allowance | ✓ | ✓ |