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Deductions · effective 1 April 2026

Section 80C under the
Income-tax Act, 2025

Deduction for LIC premia, PF, PPF, ELSS, principal repayment, tuition fees etc.

Income-tax Act, 1961
80C
Income-tax Act, 2025
123 (read with Schedule XV)
ConfirmedTaken from the ICAI Direct Taxes Committee concordance and independently checked against the bare statutory text of the Income-tax Act, 2025.

Topic

Deduction for LIC premia, PF, PPF, ELSS, principal repayment, tuition fees etc.Deductions provisions under the Income-tax Act, 2025 (Act 30 of 2025).

What carried over

The substance of this provision was not changed by the re-write. What moved is the citation.

Consolidation: s.123 absorbs old 80C, 80CCC (pension funds) and 80CCE (the combined Rs 1.5 lakh ceiling) into one section, with the list of eligible investments moved into Schedule XV. Related: 80CCD (NPS) is s.124, 80CCH (Agnipath) is s.125. Deduction remains unavailable under the s.202 default regime.

Source

ICAI concordance row '123 [Read with Schedule XV] | Deduction for life insurance premia, deferred annuity, contributions to provident fund, etc | 80C, 80CCC, 80CCE'. Independently corroborated by ClearTax ('80C -> 123') and TaxGuru ('Section 80C -> 123').

Open the source document →

CBDT publishes its own correspondence utility on incometaxindia.gov.in and that is the authority. Spot-check anything high-stakes there before you rely on it.

Frequently asked

What is the new section number for 80C?

Section 123 of the Income-tax Act, 2025, read with Schedule XV. Section 123 absorbs the old 80C, 80CCC (pension funds) and 80CCE (the combined Rs 1.5 lakh ceiling) into one section, and the list of eligible investments moves into Schedule XV.

Where did 80CCD (NPS) go?

Section 124. The Agnipath scheme deduction, old 80CCH, is Section 125.

Is the deduction available under the default regime?

No. As under the 1961 Act, it remains unavailable under the default regime, which is now Section 202.

Still cite section 80C for
Income earned up to 31 March 2026 — that is FY 2025-26, Assessment Year 2026-27, governed by the Income-tax Act, 1961 even though you file it during 2026.
Cite 123 (read with Schedule XV) for
Income earned from 1 April 2026 — Tax Year 2026-27 onwards, governed by the Income-tax Act, 2025. Tax deducted on payments made on or after 1 April 2026 must be reported under the new section 393 table references and new challan/return codes. Quoting a legacy section such as 194C or 194J triggers validation failure.
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This is a navigational aid for the 1961 → 2025 transition, not tax advice. It helps you find the right place in the new Act when you already know the old section. Confirm every citation against the bare Act and against CBDT's own correspondence utility before relying on it in a return, certificate, notice reply or opinion. The source text used here is the Act as passed, so any rate or threshold amended by the Finance Act, 2026 is not reflected; section numbers are unaffected.

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