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Chapter 5Filing ITR-1 — step by step

Deductions most people miss

In this chapter: 80C beyond PPF — the full list · 80D for self, parents, and senior parents · 80E (education loan) and 80G (donations) the right way · 80TTA / 80TTB on savings and FD interest

~3 min readLayer 1 · Financial LiteracyFree
Foundation

The Old regime's deduction stack is large and most people use only a fraction of it. 80C (₹1.5L cap) is famous for ELSS and PPF, but also covers principal repayment of home loan, life insurance premium, tuition fees for children, and Sukanya Samriddhi. 80D (₹25K self/family + ₹50K parents-senior) covers health insurance and preventive health check-ups. 80CCD(1B) gives an EXTRA ₹50K above 80C for NPS contributions.

Deep Dive

Less obvious deductions: 80E covers education-loan INTEREST (not principal) for up to 8 years post-completion of course — claim every rupee. 80G covers donations to approved charities at 50% or 100% (with PAN of donee mandatory; cash above ₹2,000 is no longer allowed). 80TTA gives ₹10,000 deduction on savings-account interest (only); 80TTB gives ₹50,000 to seniors on all interest. 80GG (₹60K cap or 25% of income) is for those without HRA but paying rent. 24(b) home-loan interest up to ₹2L for self-occupied. 80CCD(2) employer's NPS contribution, not capped against 80C, up to 10% of salary (14% for govt employees).

Advanced

Three commonly-missed angles: (1) HRA and home-loan interest can BOTH be claimed in the same year if you live in a rented house in one city and own a let-out house in another — you do not have to give up one for the other. (2) 80D includes preventive health check-up of ₹5,000 (within the broader limit) — even if no insurance was bought, the check-up alone is deductible. (3) Stamp duty and registration on a new home are 80C eligible in the year paid (within the ₹1.5L cap), often missed by first-time buyers.

Educational purposes only. The numbers, returns, and examples used in this lesson are illustrative. Past performance does not guarantee future results. Mutual fund and securities investments are subject to market risks. This lesson is not investment advice; for advice tailored to your circumstances, consult a SEBI-registered Investment Adviser. Read our full disclaimer.