Nitrogen (N), as a macro-element, plays a vital role in plant growth and development. N deficiency affects plant productivity by decreasing photosynthesis, leaf area and longevity of green leaf. To date, many studies have reported that the relationship between photosynthesis and N supply. Here, we summarized the physiological response of photosynthesis to N deficiency in leaf structure and N allocation within the leaf. In serious N stress, photosynthetic rate decreases for almost all plants. The reasons as follows:(1) reducing stomatal conductance of mesophyll cell (g(s)) and bundle sheath cells (g(bs)) which influences intercellular CO2 concentration; (2) reducing the content of bioenergetics and light-harvesting protein which inhibits electron transport rate and increase the light energy dissipated as heat; (3) reducing the content and/or activity of photosynthetic enzymes which reduces carboxylation rate. During reproductive stage, N stress induces plant senescence and N components degradation, especially photosynthetic enzymes and thylakoid N, and thus reduces photosynthesis. To keep high grain yield in low N deficiency, we should choose the genotype with higher N allocation within bioenergetics and lower degradation of photosynthetic enzymes. This review provides a generalized N allocation in response to N stress and gives a new prospect for breeding N-efficient genotypes.