Taxexcel: Automatic Income Tax Calculator for the F.Y.2025-26

Introduction

Let’s face it—filing income tax can feel like navigating a maze, especially when you're trying to maximise deductions like those under Income Tax Section 80CCD(1B). But what if there was an easy way to handle it—an all-in-one solution in Excel that not only helps you calculate everything but also auto-generates Form 10E? Whether you’re a government employee or part of the private sector, this guide is for you.

In this article, we’ll break down the benefits of Section 80CCD(1B), how to use Automatic Income Tax Preparation Software in Excel, and how to manage your tax relief form 10E.

Under the New Tax Regime (introduced under Section 115BAC and updated in Budget 2025), most exemptions and deductions—including Section 80CCD(1B)—are not available.

However, there's an exception!

The Budget 2025 allows deduction under Section 80CCD(2) (employer's contribution to NPS) even under the New Tax Regime. But:

Section 80CCD(1B) (your voluntary NPS contribution up to ₹50,000) is not allowed if you opt for the New Tax Regime.
You can only claim this benefit under the Old Tax Regime.

Sr#	Headings
1	What is Section 80CCD(1B)?
2	Who Can Claim Deduction Under 80CCD(1B)?
3	How Much Can You Claim Under 80CCD(1B)?
4	Importance of National Pension System (NPS)
5	Difference Between 80CCD(1) and 80CCD(1B)
6	Automatic Income Tax Preparation Software in Excel – An Overview
7	Benefits of Using Excel-Based Tax Software
8	How Form 10E Helps in Claiming Tax Relief
9	Govt vs Non-Govt Employees – What You Need to Know
10	How to Download the Excel Tool
11	Step-by-Step Guide to Using the Software
12	Common Mistakes to Avoid
13	Real-Life Example of Claiming 80CCD(1B)
14	How to Maximise Your Dedication Strategy
15	Final Thoughts and Action Plan

1. What is Section 80CCD(1B)?

Section 80CCD(1B) is a special provision under the Income Tax Act that offers an additional deduction of up to ₹50,000 for contributions to the National Pension System (NPS). This is over and above the ₹1.5 lakh limit under Section 80C. Think of it as a bonus savings bucket for your retirement and tax savings.

2. Who Can Claim Deduction Under 80CCD(1B)?

The beauty of Income Tax Section 80CCD(1B) is that it's open to all. Whether you're a government employee, a private sector worker, or even self-employed, you can claim this deduction if you contribute to NPS.

3. How Much Can You Claim Under 80CCD(1B)?

You can claim a maximum deduction of ₹50,000 under Section 80CCD(1B). This is in addition to the ₹1.5 lakh you might already be claiming under Section 80C. That means, in total, you can claim up to ₹2,00,000 in tax deductions.

4. Importance of National Pension System (NPS)

The NPS is not just a tax-saving instrument. It’s also a secure and structured way to build a retirement corpus. Contributions are invested in diversified instruments like equities and government bonds. Plus, you enjoy long-term compounding benefits.

5. Difference Between 80CCD(1) and 80CCD(1B)

Here’s a simple breakdown:

80CCD(1) is part of the ₹1.5 lakh 80C limit.
80CCD(1B) is an additional ₹50,000 deduction.
So if you’re already using your 80C limit, 80CCD(1B) gives you extra room to save more taxes.

6. Automatic Income Tax Preparation Software in Excel – An Overview

Imagine a tool that auto-calculates your deductions, prepares your salary statement, and even generates Form 10E—all in Excel. This All-in-One Software is a one-stop solution, especially tailored for F.Y. 2025-26.

7. Benefits of Using Excel-Based Tax Software

Why Excel?

User-friendly: No need for technical knowledge.
Customizable: You can tweak entries based on your salary structure.
Time-saving: No manual calculations.
Accurate: Reduces human errors.

8. How Form 10E Helps in Claiming Tax Relief

Got arrears? You’ll need Form 10E to claim tax relief under Section 89(1). The good news? The Excel software auto-generates Form 10E based on your inputs. No confusion, no delay.

9. Govt vs Non-Govt Employees – What You Need to Know

Government employees often get NPS contributions from both the employee and the employer. In contrast, non-government employees usually contribute voluntarily. The software supports both categories, making tax filing easy for all.

10. How to Download the Excel Tool

“Download Automatic Income Tax Preparation Software in Excel for FY 2025-26 with Form 10E from the link below”
Look for tools specifically marked as "All in One" for both govt and non-government employees.

11. Step-by-Step Guide to Using the Software

Open the Excel tool.
Enter your personal details.
Fill in salary components.
Add your investment and NPS details.
Navigate to the Form 10E section.
Click ‘Generate’ – and you’re done!

12. Common Mistakes to Avoid

Forgetting to generate Form 10E for arrears.
Entering wrong assessment year (FY 2025-26 = AY 2026-27).
Not saving the Excel file after input.
Skipping the NPS entry while calculating 80CCD(1B).

13. Real-Life Example of Claiming 80CCD(1B)

Meet Raj, a private employee who has already invested ₹1.5 lakh under 80C. He added ₹50,000 to NPS and used the Excel software to include it under 80CCD(1B). His taxable income dropped, and he saved ₹15,000 in taxes!

14. How to Maximise Your Dedication Strategy

Want to save more?

Use 80C for life insurance, PPF, tuition, etc.
Use 80CCD(1B) for NPS.
Use Form 10E to claim arrear relief.
A smart mix of sections and tools can maximise your tax savings effortlessly.

15. Final Thoughts and Action Plan

Tax planning doesn’t have to be overwhelming. By combining the power of Income Tax Section 80CCD(1B) with the simplicity of Automatic Excel Tax Software, you’re not just saving money—you’re securing your financial future.

So, take the first step. Download the software. Enter your details. Maximise your deductions.

FAQs

1. Can I claim both 80C and 80CCD(1B) deductions?
Yes, 80CCD(1B) is in addition to the ₹1.5 lakh limit under 80C.

2. Is Form 10E mandatory for claiming relief under Section 89(1)?
Yes, without Form 10E, your tax relief claim can be rejected.

3. Can private employees claim 80CCD(1B)?
Absolutely. Both government and non-government employees can claim it if they contribute to NPS.

4. What is the assessment year for F.Y. 2025-26?
It’s A.Y. 2026-27.

5. Where can I find the Automatic Excel Tax Software?
You can search online using the keyword:
“Automatic Income Tax Preparation Software in Excel for FY 2025-26 with Form 10E.”