More Than 40 deductions or exemptions available under New Tax Regime For FY 24-25: Check Before Filing

The New Tax Regime for the financial year 2024-25 offers a total of 45 deductions and exemptions. Let's check what those are-

1. Standard Deduction - Rs 75,000 for Salaried or Pensioner.
2. Basic Exemption Limit - Up to 3 Lakh No Tax
3. Rebate 87A - T.I. Rs 7 Lakh - Tax Rebate Rs 25,000
4. Family Pension - Maximum Rs 25000 for the Pensioner.
5. 30% Ad Hoc Standard deduction on Rent Income (Let-out).
6. No limit for interest paid on Home Loan up to Rent Income (Let-out) (cannot be carried forward).
7. Employer Contribution 80CCD(2) - Limit 14% of Salary (Basis + DA).
8. Travelling Allowance - Cost of Travel on Tour or Transfer is exempted.
9. Daily Allowance - Daily Charges Incurred for Tour.
10. Conveyance Allowance - Actual Expenditure for office purposes.
11. Transport Allowance - Only for a disabled Person up to Rs 3,200 Per Month.
12. Gratuity - Exempt Rs 20 Lakh for other than government and for Government 100% Exempted.
13. Leave Encashment - Exempt Rs 25 Lakh (Govt - 100% Exempt).
14. Voluntary Retirement - Exempt upto Rs 5 Lakh (once in a lifetime).
15. PPF Interest and Maturity is exempted.
16. LIC Maturity is exempt but the premium must not be more than 10% of the sum.
17. Sukanya Samridhi Yojana Interest & Maturity is Exempt.
18. Agriculture Income is Exempt.
19. Interest from Tax-Free Bonds - Fully Exempt.
20. Gift from Relatives - Spouse, Mother, Father etc. are Fully Exempt (no limit in bank transfer but below 2 Lakh limit in cash received).
21. Gift from All Non-Relatives - up to Rs 50,000 No Tax.
22. Gift from Non-Relatives - On Marriage Occasion - Fully Tax Free (no limit in bank transfer but below 2 Lakh limit in cash received).
23. Gift Received from Local Authority, Registered Trust/Institution.
24. Gift made in Contemplation of the Donor's Death are fully Exempt.
25. Property received under a will or inheritance is exempted.
26. 80CCH Contribution to Agniveer Corpus Fund - fully Exempt.
27. 80JJAA Additional Employee Cost - Deductible.
28. LTCG u/s 112A Equity Shares or Mutual Funds - Exempt Up to Rs 1,25,000
29. Marginal Relief available.
30. Capital Gain Exempt u/s 54, 54B, 54D, 54EC, 54F, 54G, 54GA
31. Indexation Benefit in Case Sale of Property, i.e., Long Term Capital Gain.
32. Post Office Saving Interest 10(15)(i) - Exempt up to Rs 3,500
33. Non-Taxable Perks - Official Purpose - Laptop, Medical Facility, Interest-Free Salary Loan.
34. Depreciation Allowed u/s 32.
35. Presumptive Taxation Benefits u/s 44AD/44ADA/44AE.
36. Disaster Compensation - Exempt u/s 10(10BC) - Central Government/State Government/Local Authority.
37. Provident Fund Received - Statutory u/s 10(11) / Recognized u/s 10(12) - Exempt.
38. Approved Superannuation Fund - Exempt u/s 10(13).
39. Scholarships granted to meet the cost of education - Exempt u/s 10(16).
40. Award Instituted by Government - Exempt u/s 10(17A).
41. Pension Received by Winner of "Param Vir Chakra", "Maha Vir Chakra", "Vir Chakra" or such other gallantry award - Exempt u/s 10(18).

1. Defence Medical Disability Pension - Exempt u/s 10(18).
2. Armed Forces Family Pension in case of Death during Operational Duty - Exempt u/s 10(19).
3. Commuted/Lumpsum Pension - Fully Exempt Govt. Employees: 1/3 or 1/2 Exempt Non-Govt. Employee.

Overall, the New Regime is not entirely "no-exemption" based, but taxpayers can strategically use these 45 deductions or exemptions for significant tax savings, while also enjoying simpler slab rates.