Yes. Employed individuals are eligible for a tax deduction of up to 10% of salary (basic + DA) under Sec 80CCD(1) of the Income Tax Act 1961, with a ceiling of up to Rs.1.5 lakh under Sec 80CCE.Additional contributions are also eligible for tax deductions. Investments under Sec 80C and the premium on pension products on Sec 80CCC cannot exceed Rs.1 lakh per assessment year to be eligible for deduction. Employers contributing to NPS on employee behalf can also avail tax benefits under Section 36 (1)(iv a)
For the self-employed, tax deduction can be availed up to 10% of gross income under Sec 80CCD (1) within Rs.1.5Lacs limit under section 80CCE
The 2015 Finance Bills states that additional investment of Rs.50000 will be eligible for tax deduction under Sec 80CCD(1B) effective AS 2016-17