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Feb 10, 2026
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New tax regime isn’t limited to standard deduction: 5 tax benefits salaried taxpayers still get
For a large section of taxpayers, the belief around the new tax regime is fairly settled – choose it, and you only get the standard deduction and nothing more.
But a closer look at the Draft Income-tax Rules, 2026, which are expected to be notified before the April 1 rollout, tells a slightly different story. The rules suggest that the government has quietly ensured that several practical tax benefits continue even for those opting for the new tax regime.
The perception that the new tax regime offers little beyond standard deduction stems from the removal of popular deductions such as Section 80C, 80D, HRA and LTA. With the government pitching the new regime as a system with lower tax rates and fewer deductions, many taxpayers concluded that choosing it meant giving up almost all tax benefits.
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