Hidden Tax Deductions:
As we know, the new tax regime will be applicable from FY 2025-26, where income up to Rs. 12 lakh is exempt, you might already be dreaming of a tax-free life! But hold on—until then, you still need to deal with the existing tax schemes and their rules and grab every deduction possible.
Taxpayers in India are always looking for ways to save on taxes. While Section 80C is well known, many other tax-saving options go unnoticed. In this blog, we will explore hidden tax deductions in FY 2024-25 that can reduce your tax burden. Make sure you claim them before filing your Income Tax Return (ITR)!
Section 80D – Health Insurance Premium
Health is wealth, and the government encourages taxpayers to get health insurance. You can claim deductions
| Covered Individuals | Premium Paid (Rs.) | Exemption u/s 80D | |
| For Self, Family & Children | For Parents | ||
| Individual & Parents < 60 Years | 25,000 | 25,000 | 50,000 |
| Individual & Family < 60 Years but Parents > 60 Years | 25,000 | 50,000 | 75,000 |
| Individual and Parents > 60 Years | 50,000 | 50,000 | 1,00,000 |
| Members of HUF and NRIs | 25,000 | 25,000 | 25,000 |
Pro Tip: Preventive health check-ups are covered up to ₹5,000 under this section.
Section 80E – Interest on Education Loan
The deduction u/s 80E can be claim by individual on the interest paid on education loan. It is not available to HUF or any other kind of taxpayer. The loan should be taken for the higher education of self, spouse or children or for a student for whom the individual is a legal guardian.
Further, there is no maximum limit under section 80E hence whatever you paid as interest in a financial year can be claimed as a deduction. The maximum period of deduction is for up to 8 years.
Section 80EEA – First-Time Home Buyers
Under the initiative of “Housing for all”, Government of India was introduced a new deduction u/s 80EEA in which you can be eligible for an extra deduction of interest of Rs. 1.5 Lakh on home loan interest, apart from Section 24(b) subject to that this is your first home.
Section 80G – Donations to Charitable Organizations
Individuals can claim a deduction under Section 80G on donations made to eligible institutions or funds, with the deductible amount being either 50% or 100% of the donated sum, depending on the recipient institution or fund.
For companies, the deduction under Section 80G is also available at either 50% or 100% of the donated amount. However, this deduction is subject to specific conditions and restrictions.
Section 80GG – Rent Paid (For Non-Salaried Individuals)
If you do not receive HRA from your employer, you can claim up to ₹60,000 per year under this section.
Section 80C, CCD1, 1B & 2 : NPS Tax Benefits
FAQs on Hidden Tax Deductions in 2025
Hidden Tax Deductions
1. Can I claim 80C and 80EEA together?
Yes, both deductions can be claimed separately. 80EEA is specifically for first-time homebuyers.
2. Is health check-up covered under 80D?
Yes, preventive health check-ups up to Rs. 5,000 are included in 80D.
3. Who can claim a deduction for electric vehicle loans?
Anyone who has taken an electric vehicle loan can claim up to Rs. 1.5 lakh under 80EEB.
4. Can I claim both HRA and 80GG?
No, if you receive House Rent Allowance (HRA), you cannot claim 80GG.
5. Is there a limit for tax-free gratuity?
Yes, gratuity is tax-free up to Rs. 20 lakh for non-government employees.
Final Thoughts
There are many hidden tax deductions in 2025 that most taxpayers miss. By claiming these benefits, you can reduce your taxable income and maximize savings. Confused about which way to go? No worries! Just connect with us at Taxunplug—we’ll handle your taxes while you focus on enjoying your life (or figuring out how to spend those tax savings!).”
The information provided in above blog is for general informational only and should not be considered as legal or tax advice. Request you to please follow latest updated in reference to above details. We advise to consult with a qualified tax professional such as “Taxunplug” for all your tax needs