80C Deductions List & Calculator AY 2025-26
Section 80C is the most popular tax-saving section under the Income Tax Act. It allows salaried individuals to claim deductions up to ₹1,50,000 per year on investments and expenses. This guide covers all eligible 80C investments, their lock-in periods, returns, and how to maximize your tax savings. Note: 80C deductions are only available under the old tax regime.
Last Updated: March 2025
Complete 80C Deductions List
| Investment | Lock-in | Returns | Notes |
|---|---|---|---|
| EPF (Employee Provident Fund) | Till retirement | 8.25% (current) | Auto-deducted from salary |
| PPF (Public Provident Fund) | 15 years | 7.1% (current) | Tax-free returns (EEE) |
| ELSS (Equity Linked Savings) | 3 years | 12-15% (historical) | Shortest lock-in among 80C |
| Life Insurance Premium | Policy term | 4-6% | Only premium paid, not maturity |
| NSC (National Savings Certificate) | 5 years | 7.7% (current) | Interest is taxable |
| Tax Saver Fixed Deposit | 5 years | 6-7% | Interest is taxable |
| Sukanya Samriddhi Yojana | 21 years | 8.2% (current) | For girl child education |
| SCSS (Senior Citizens Savings) | 5 years | 8.2% (current) | For 60+ age group |
| Home Loan Principal Repayment | Loan term | N/A | Only principal, not interest |
| Tuition Fees (Children) | N/A | N/A | Up to 2 children, only tuition |
| Stamp Duty & Registration | N/A | N/A | Year of purchase only |
Combined limit: ₹1,50,000 for all investments under Section 80C, 80CCC, and 80CCD(1).
Tax Savings from 80C by Income Level
The actual tax savings from 80C depend on your income tax slab. Here is how much you can save:
| Tax Slab | Tax Saved (₹1.5L investment) |
|---|---|
| 5% slab (₹2.5L - ₹5L) | ₹7,800 (incl. cess) |
| 20% slab (₹5L - ₹10L) | ₹31,200 (incl. cess) |
| 30% slab (Above ₹10L) | ₹46,800 (incl. cess) |
Use our income tax calculator to see the exact impact of 80C on your tax liability. Also check the old vs new regime comparison to decide if the old regime with 80C is beneficial for you.
Best 80C Strategy for Salaried Employees
- Count your EPF first: Your employee PF contribution is automatically eligible under 80C. If your basic is ₹25,000/month, EPF is ₹36,000/year — leaving ₹1,14,000 for other investments.
- ELSS for equity exposure: If you want equity returns with tax savings, invest in ELSS mutual funds. They have the shortest lock-in of 3 years among all 80C options.
- PPF for safe returns: PPF offers guaranteed 7.1% returns with complete tax-free status (EEE). Ideal for conservative investors. Maximum ₹1.5L per year.
- Add NPS for extra ₹50K: After maxing 80C, invest ₹50,000 in NPS to claim additional deduction under Section 80CCD(1B).
- Do not forget tuition fees: If you have children in school, their tuition fees (up to 2 children) count under 80C — no additional investment needed.