Deduction No1 If you are Salaried or Pensioners Standard Deduction of Rs 50000 is allowed in New Tax Regime . Deduction No2.NPS Contribution An Employer's Contribution National Pension System NPS upto 10 percent for Private And Upto 14 percent for Government Employee as a deduction US 80CCD(2) is also applicable to new tax regime.Deduction No o 3. If you rented your house or flat then you can claim a Standard Deduction of 30 percent against your annual rent value. Deduction 4. EPF contribution by employee of 12 percent of basic salary is deducted from CTC is allowed.Deduction 5. The limit of Total Income of rebate US 87 A of the Income tax act 1961 has been increased from 5 Lakh to 7 Lakh for those who choose new tax regime.