Abstract-There are abundant methods to mitigate PAPR in OFDM signals among which algorithm based tone reservation is of great popularity owing to its low complexity as well as decent BER. Here we have put forward a new distinct algorithm based Tone Reservation technique which is not only less complex and calculates its own threshold as well as PRT signal (unlike other algorithms requiring predetermined threshold and PRT) but also aptly modifies the data by bit by bit comparison with a modified copy of itself (algorithm modified) thus scaling the peaks as and providing a decent BER and good PAPR reduction.