Maximum deduction for NPS in old tax regime

Income Tax Income from Salary
1

Hello,
What is the maximum permissible deduction for the investment in NPS in old tax regime. Is it only INR 50,000 u/s 80CCD1B, or is it INR 2,00,000 (i.e. 1,50,000+50,000 u/s 80CCD1B)?

2

Hey @Shiv_Katira,

The combined deduction can go up to ₹2L. As most people tend to exhaust the ₹1.5L deduction under section 80C, an additional deduction of ₹50,000 is allowed for investments in NPS. If you do not have any other investments like EPF, ELSS, PPF that are allowed as a deduction under section 80C, you can claim the entire ₹2L (1.5L(80C) + ₹50,000 (80CCD (1b)) deduction for investing in NPS.

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