Dear friend,


Kindly refer rule 280 of the Income tax rules 2026.


This rule provides a deduction towards conveyance allowance for salaried employees who are Persons With Disabilities. This rule provides a maximum deduction of Rs. 8,000/- per month for persons residing in non-metro areas & Rs. 15,000/- per month for persons residing in metro areas. This deduction is restricted to the maximum amount allowed under the rule or the actual conveyance allowance received, whichever is lower.


Regards
Sameer Latey

On 07-05-2026 01:57 pm, KONGALETI SATYANARAYANA wrote:
Dear Mister Kayne,

Thank you for raising this critical issue regarding the new tax regime. Your advocacy for the restoration of deductions under Section 80U and 80DD is essential for the community.

In addition to the points you mentioned, I would like to bring attention to the status of the transport allowance exemption for persons with disabilities. There was a proposal to provide tax relief of up to ₹8,000 per month in non-metro cities and up to ₹16,000 per month in metro cities. While this provision was included in the draft guidelines, it appears to have been removed from the final rules that were officially published and implemented.

It seems that this specific omission has not yet been widely addressed. I initially hoped the draft provision would be maintained, but unfortunately, it was excluded from the final version.

If anyone in the community has further information regarding whether this allowance remains available in any capacity, or can provide clarity on why it was removed from the final guidelines, please share your insights.

Best regards,

KONGALETI SATYANARAYANA

thanks and regards,
Kongaleti Satyanarayana Reddy

On Thu, May 7, 2026 at 1:52 PM Mister Kayne <[email protected]> wrote:

    Dear Access India Community,

    I am writing to draw attention to an important issue that directly
    impacts persons with disabilities across India and to seek the
    collective voice of this community in addressing it.

    Under the old income tax regime, persons with disabilities were
    eligible for a meaningful and much needed deduction under Section
    80U (and Section 80DD for dependents). This provision recognized
    the additional, ongoing costs associated with disability—such as
    assistive technology, personal assistance, accessible transport,
    and healthcare—and offered some financial relief.

    However, under the new tax regime, these disability specific
    deductions have not been carried forward. As a result, persons
    with disabilities are now required to forgo this benefit entirely
    if they opt for the new regime, despite the fact that the lived
    costs of disability have not reduced—in many cases, they have
    increased.

    This effectively places persons with disabilities at a
    disadvantage within a tax system that is otherwise positioned as
    “simpler” and “more equitable”.

    I believe this is a matter that deserves collective advocacy.

    What I am requesting from the community:

    • Raise your voice on the absence of disability deductions in the
    new tax regime

    • Share data, resources, articles, personal narratives, and impact
    analyses that demonstrate why this deduction is essential

    • Help collate a strong, evidence backed representation that can
    be communicated to the relevant governmental authorities (Ministry
    of Finance, CBDT, and policy advisory bodies)

    • Explore whether this can be taken up through formal memoranda,
    consultations, or pre budget representations

    This community has consistently played a powerful role in shaping
    accessibility and inclusion discourse in India. A unified, well
    articulated ask—grounded in rights, equity, and lived
    experience—can make a difference.

    If there are existing efforts already underway on this front, I
    would be grateful to be pointed to them. Otherwise, I am happy to
    collaborate in helping initiate and organize next steps.

    Looking forward to your thoughts, guidance, and support.

    Warm regards,

    Mister Kayne
    Author: The Somebody, Nobody, Anybody & Everybody Blog!
    <https://www.mister-kayne.com/>

    Mail: [email protected] <mailto:[email protected]>

    Sent from Outlook® for Windows 11

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