Budget 2025: Five Key Deductions Missing from New Tax Regime
As Finance Minister Nirmala Sitharaman prepares to present the Union Budget 2025 on February 1, taxpayers are eyeing potential changes to the New Tax Regime. While offering lower tax rates, this regime currently excludes several popular deductions available under the old system. These include:
1.Home loan interest deduction
2.Section 80C investments (up to Rs 1.5 lakh)
3.House Rent Allowance (HRA)
4.National Pension System (NPS) contribution of Rs 50,000 under Section 80CCD(1B)
5.Medical insurance premium deduction under Section 80D
Experts are advocating for the inclusion of some of these benefits to make the New Tax Regime more attractive to the 28% of taxpayers still using the old system.
Source: Business Today
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