Can we show remaining amount of 80ccd(1) in 80ccd(1b)

Sir/Mam,

Can we spilt/adjust NPS employee contribution section 80ccd(1) amount in two parts as one for section 80CCE and second for section 80ccd(1b) ? I am state government employee and having PPF saving of 1,20,000 and my employee end NPS contribution(80ccd(1)) is 70,000.

My 1.5 lakh saving is completed by PPF = 1,20,000 + 80ccd(1)=30,000. Can i show remaining 40,000 out of 70,000 in 80ccd(1b) ?

Our PAO/Auditor not accepting this scenario and saying that you can not split/adjust section 80ccd(1) amount with section 80ccd(1b) amount as it is voluntary contribution. If anybody knows exact rule plz share authentic proof.

This given below proof given by my department PAO/Auditor so here i am confused please read this once:

https://www.incometaxindia.gov.in/_layouts/15/dit/mobile/viewer.aspx?path=https://www.incometaxindia.gov.in/charts%20%20tables/benefits_available_to_individual_huf.htm&k=&IsDlg=0

Addition deduction of Rs. 50,000 shall not be allowed in respect of contribution which is considered for deduction under section 80CCD(1), i.e., limit of 10% of salary/gross total income. (this paragraph given in above url)

Hey Kuldeep, I get why this can be confusing! Let me clarify the treatment of Section 80CCD(1) and 80CCD(1B) for your NPS contributions.

What are these sections about?

Section 80CCD(1):
Deduction for employee’s contribution to NPS, subject to overall limit of ₹1.5 lakh under Section 80CCE (which includes 80C, 80CCC, and 80CCD(1)).
So, the total of PPF + 80CCD(1) cannot exceed ₹1.5 lakh.
Section 80CCD(1B):
This is an additional deduction up to ₹50,000 over and above the ₹1.5 lakh limit under 80CCE.
This section specifically allows deduction for voluntary contributions to NPS beyond 80CCD(1).

Can you split your employee NPS contribution between 80CCD(1) and 80CCD(1B)?

No, you cannot split the same contribution between these two sections.

The employee’s mandatory contribution (up to 10% of salary) comes under 80CCD(1) and is included in the ₹1.5 lakh limit.
The voluntary additional contribution (over and above 10%) qualifies for deduction under 80CCD(1B) up to ₹50,000.

In your case:

You have ₹1,20,000 in PPF.
Your total limit under 80CCE is ₹1.5 lakh.
So, only ₹30,000 of your employee NPS contribution (₹70,000 total) can be claimed under 80CCD(1) to complete the ₹1.5 lakh limit.
The remaining ₹40,000 of employee contribution cannot be shifted to 80CCD(1B) because 80CCD(1B) is for voluntary contributions beyond the 10% limit, which is separate from employee’s mandatory contribution.

What does the official source say?

From your link and CBDT clarifications:

“Additional deduction of ₹50,000 shall not be allowed in respect of contribution which is considered for deduction under section 80CCD(1), i.e., limit of 10% of salary/gross total income.”

This means no double benefit or splitting allowed.

Summary:

You cannot split the ₹70,000 employee contribution into ₹30,000 under 80CCD(1) and ₹40,000 under 80CCD(1B).
Only voluntary contributions beyond the 10% salary limit can go under 80CCD(1B).
Since you exhausted the ₹1.5 lakh limit with PPF and part of your NPS, the rest cannot be claimed under 80CCD(1B).