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ArticleInterest from your bank accounts is taxable, but two sections let you deduct part of it — a small benefit for most people and a generous one for seniors. Here's how 80TTA and 80TTB work, both old-regime deductions.
Reviewed by CA Harika Chebolu, FCA · Last updated 2026-06-13
Quick answer
80TTA gives up to Rs 10,000 on savings interest; seniors get up to Rs 50,000 on all deposit interest under 80TTB. Here's how.
Section 80TTA gives a deduction of up to Rs 10,000 a year on interest from savings bank accounts (not fixed deposits). It applies to individuals below 60. So the first Rs 10,000 of your savings-account interest is effectively tax-free in the old regime.
Senior citizens get the far more generous 80TTB instead: a deduction of up to Rs 50,000 a year, and it covers interest from fixed and recurring deposits as well as savings accounts. For retirees living on deposit income, this is one of the biggest available deductions.
A senior citizen claims 80TTB, not 80TTA — the two aren't combined. 80TTB simply replaces 80TTA with a much higher limit and wider coverage once you turn 60.
A key difference: under 80TTA only savings-account interest qualifies, while 80TTB also covers fixed and recurring deposit interest. So non-seniors get no deduction on FD interest, whereas seniors do — within the Rs 50,000 limit.
Your bank reports interest to the tax department, so it appears in your AIS. Report the full interest, then claim 80TTA or 80TTB against it — leaving interest off the return is a common, avoidable trigger for a notice.
80TTA gives up to Rs 10,000 on savings-account interest for those under 60; 80TTB gives senior citizens up to Rs 50,000 covering savings and fixed/recurring deposit interest. Seniors claim 80TTB, not 80TTA.
Only for senior citizens, under 80TTB (within Rs 50,000). Under 80TTA, only savings-account interest qualifies — non-seniors get no deduction on FD interest.
Up to Rs 10,000 a year under 80TTA for those under 60, and up to Rs 50,000 under 80TTB for seniors (covering deposits too) — both old-regime deductions.
Lots of interest income, especially as a senior? Write to the firm and we'll claim 80TTA or 80TTB in full.