Income Tax Act, 2025
Section 12: Clause (6) omitted by Act 4 of 1988, s. 22 (w.e.f. 11989).
12. Clause (6) omitted by Act 4 of 1988, s. 22 (w.e.f. 11989).
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4[80C. Deduction in respect of life insurance premia, deferred annuity, contributions to
provident fund, subscription to certain equity shares or debentures, etc.—(1) In computing the total
income of an assessee, being an individual or a Hindu undivided family, there shall be deducted, in
accordance with and subject to the provisions of this section, the whole of the amount paid or deposited in
the previous year, being the aggregate of the sums referred to in sub-section (2), as does not exceed 5[one
hundred and fifty thousand rupees].
(2) The sums referred to in sub-section (1) shall be any sums paid or deposited in the previous year by
the assessee—
(i) to effect or to keep in force an insurance on the life of persons specified in sub-section (4);
(ii) to effect or to keep in force a contract for a deferred annuity, not being an annuity plan
referred to in clause (xii), on the life of persons specified in sub-section (4):
Provided that such contract does not contain a provision for the exercise by the insured of an
option to receive a cash payment in lieu of the payment of the annuity;
(iii) by way of deduction from the salary payable by or on behalf of the Government to any
individual being a sum deducted in accordance with the conditions of his service, for the purpose of
securing to him a deferred annuity or making provision for his spouse or children, in so far as the sum
so deducted does not exceed one-fifth of the salary;
(iv) as a contribution by an individual to any provident fund to which the Provident
Funds Act, 1925 (19 of 1925) applies;
(v) as a contribution to any provident fund set up by the Central Government and notified by it in
this behalf in the Official Gazette, where such contribution is to an account standing in the name of
any person specified in sub-section (4);
(vi) as a contribution by an employee to a recognised provident fund;
(vii) as a contribution by an employee to an approved superannuation fund;
(viii) 6[as subscription, in the name of any person specified in sub-section (4), to] any such
security of the Central Government or any such deposit scheme as that Government may, by
notification in the Official Gazette, specify in this behalf;
(ix) as subscription to any such savings certificate as defined in clause (c) of section 2 of the
Government Savings Certificates Act, 1959 (46 of 1959), as the Central Government may, by
notification in the Official Gazette, specify in this behalf;
(x) as a contribution, in the name of any person specified in sub-section (4), for participation in
the Unit-linked Insurance Plan, 1971 (hereafter in this section referred to as the Unit-linked Insurance
Plan) specified in Schedule II of the Unit Trust of India (Transfer of Undertaking and Repeal)
Act, 2002 (58 of 2002);
(xi) as a contribution in the name of any person specified in sub-section (4) for participation in
any such unit-linked insurance plan of the LIC Mutual Fund 7[referred to in clause (23D)] of section
10, as the Central Government may, by notification in the Official Gazette, specify in this behalf;
(xii) to effect or to keep in force a contract for such annuity plan of the Life Insurance
Corporation or any other insurer as the Central Government may, by notification in the Official
Gazette, specify;
omitted by Act 4 of 1988, s. 22 (w.e.f. 11989).
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4[80C. Deduction in respect of life insurance premia, deferred annuity, contributions to
provident fund, subscription to certain equity shares or debentures, etc.—
In computing the total
income of an assessee, being an individual or a Hindu undivided family, there shall be deducted, in
accordance with and subject to the provisions of this section, the whole of the amount paid or deposited in
the previous year, being the aggregate of the sums referred to in sub-section
The sums referred to in sub-section
shall be any sums paid or deposited in the previous year by
the assessee—
to effect or to keep in force an insurance on the life of persons specified in sub-section
to effect or to keep in force a contract for a deferred annuity, not being an annuity plan
referred to in clause
by way of deduction from the salary payable by or on behalf of the Government to any
individual being a sum deducted in accordance with the conditions of his service, for the purpose of
securing to him a deferred annuity or making provision for his spouse or children, in so far as the sum
so deducted does not exceed one-fifth of the salary;
as a contribution by an individual to any provident fund to which the Provident
Funds Act, 1925 (19 of 1925) applies;
as a contribution to any provident fund set up by the Central Government and notified by it in
this behalf in the Official Gazette, where such contribution is to an account standing in the name of
any person specified in sub-section
as a contribution by an employee to a recognised provident fund;
as a contribution by an employee to an approved superannuation fund;
6[as subscription, in the name of any person specified in sub-section
as subscription to any such savings certificate as defined in clause
of section 2 of the
Government Savings Certificates Act, 1959 (46 of 1959), as the Central Government may, by
notification in the Official Gazette, specify in this behalf;
as a contribution, in the name of any person specified in sub-section
as a contribution in the name of any person specified in sub-section
for participation in
any such unit-linked insurance plan of the LIC Mutual Fund 7[referred to in clause
to effect or to keep in force a contract for such annuity plan of the Life Insurance
Corporation or any other insurer as the Central Government may, by notification in the Official
Gazette, specify;