Is NPS's extra Rs 50,000 tax deduction available under new tax regime?

I fall under the new tax regime. Can I claim tax benefits on an additional Rs 50,000 investment in NPS under Section 80CCD? - Anonymous No, it isn't under the new tax regime. This benefit is available only to those who have opted for the old tax regime. However, there is still a way to claim a tax benefit under the new tax regime. If your employer contributes to your NPS account, you can claim a deduction under Section 80CCD (2). But do note that the exemption is capped at 14 per cent of your basic pay and dearness allowance.

This article was originally published on January 15, 2025.