Difference between income tax rebate vs tax exemption

Tax Rebate is a reduced Tax by virtue of certain privillages like being Senior Citizen, Women Assesse, donation to charitable institutions etc, Interest earned on SB interest u/s 80 TTA etc.

Tax Exemption is Zero tax liability by virtue of certain categories like Income from Agriculture

Hi Vikas, 

As far as I know, tax rebate is money which you can claim for refund after filing tax under some circumstances. For eg. in case of senior citizens, submitting 15 G form for your interests (applicable only for income below tax cap). 

Tax exemption is barred by government in some scenarios like agriculture, HRA. It increases the tax bar of an individual.