Section 80C India — ELSS vs PPF vs LIC (Simple Comparison)
Section 80C options in India compared simply: ₹1.5 lakh cap, lock-ins for ELSS, PPF and LIC, and why this is not a product recommendation — old-regime context.
The cap comes first
Section 80C (when available in the regime you choose) has a combined limit commonly cited as ₹1.5 lakh. Mixing ELSS, PPF, life insurance premiums, and EPF still shares that cap. Confirm current law.
Lock-in is the real difference
ELSS typically has a 3-year lock-in and equity market risk. PPF has a long lock-in and notified rates. Traditional LIC premiums may qualify but the product is insurance + savings — read the benefit illustration, not just “80C”.
Do not buy for the deduction alone
A deduction is not free money if the product is a poor fit. Use our tax calculator to see whether old regime even wins for you this year.
Salaried 80C checklist (do this before March)
Count what is already happening: EPF on the payslip, eligible home-loan principal, children’s tuition fees. Many employees are closer to the ₹1.5 lakh cap than they think. Fill remaining room only with products you would buy without the tax label — PPF for long safety, ELSS for long equity risk. Keep proofs for the employer declaration and for ITR. Limits change with budgets — verify the current FY on the Income Tax portal.
- Do not double-count the same investment
- Review insurance need separately from “80C selling”
- Use the salary-tax calculator for estimates, then confirm with Form 16
Frequently asked questions
Is 80C in the new regime?
ELSS is guaranteed?
Which 80C is best?
In this topic: Salary & income tax
Compare old vs new tax regimes for planning — always verify on the official portal before filing.
Educational guide only. For government schemes, tax, and banking decisions, confirm details on official portals or with qualified professionals.