With the financial year 2025–26 coming to an end, taxpayers have a very limited window left to optimise their tax savings. The deadline for making eligible tax-saving investments is March 31, 2026, after which a new financial year (2026–27) will begin from April 1. If you are planning to reduce your taxable income and maximise deductions, now is the time to act.

It is important to note that most tax-saving benefits are available only under the old income tax regime. Taxpayers opting for this regime can still utilise several investment options and deductions to lower their overall tax liability.

One of the most widely used provisions for tax savings is Section 80C of the Income Tax Act. Under this section, individuals can claim deductions of up to ₹1.5 lakh per financial year by investing in approved instruments.

Some of the popular options include:

• Public Provident Fund (PPF)
• Equity Linked Savings Scheme (ELSS)
• Life Insurance Premiums
• National Savings Certificate (NSC)
• Sukanya Samriddhi Yojana
• Tax-saving Fixed Deposits (FDs)

If you have not yet exhausted the ₹1.5 lakh limit, you still have a few days to invest and claim the full deduction. Many experts recommend ELSS funds for last-minute investments due to their relatively quick processing and tax benefits.

Apart from investments, taxpayers can also claim deductions on health insurance premiums under Section 80D.

• Up to ₹25,000 can be claimed for self, spouse, and children
• An additional ₹50,000 deduction is available for parents (especially senior citizens)

If your health insurance policy renewal is due, ensure that you complete the payment before March 31. Similarly, if you are planning to buy a new policy, purchasing it before the deadline will make you eligible for deductions in the current financial year.

Another effective way to save tax is by investing in the National Pension System (NPS). Under Section 80CCD(1B), taxpayers can claim an additional deduction of up to ₹50,000, over and above the ₹1.5 lakh limit of Section 80C.

However, to avail of this benefit, your NPS contribution must be made before March 31, 2026. This option is particularly useful for those who have already exhausted their 80C limit and are looking for extra tax relief.

Before rushing into new investments, financial experts advise reviewing your existing tax-saving portfolio. This helps you understand:

• Whether you have already reached the ₹1.5 lakh limit under Section 80C
• If there is still scope for additional investments
• Whether you can utilise other sections like 80D or 80CCD(1B)

For example, if your current investments fall short of the limit, you can still invest in eligible instruments like ELSS or PPF to maximise deductions.

Taxpayers with home loans can claim deductions under Section 24 for interest paid. However, the interest must be paid within the same financial year. Delays in payment could result in losing the benefit.

Similarly, donations made to eligible institutions under Section 80G are also tax-deductible—but only if the donation is completed before March 31. Contributions made after this date will not qualify for deductions in FY 2025–26.

With just a few days left, taxpayers should act quickly and make informed financial decisions. Missing the March 31 deadline could mean losing out on valuable tax benefits for the entire year.

Whether it’s investing in tax-saving instruments, renewing insurance, contributing to NPS, or making eligible donations—every step taken now can help reduce your tax burden significantly.

Plan smartly, invest wisely, and make the most of the last few days to save on taxes.