Deepak Gupta | Feb 19, 2018 |
Section 80D: Income Tax Deduction for A.Y. 2019-20 | F.Y 2018-19
Section 80D deduction Relevant for Assessment Year 2019-20/Financial Year 2018-19 as proposed by Finance Bill 2018 | Relevant for Assessment Year 2019-20/ Financial Year 2018-19 are given below.
Having a health insurance policy does not only help cover your medical expenses, it also gives you relief from tax liabilities. Section 80D of the Income Tax Act 1961 allows taxpayers to claim deductions for health insurance premiums paid for insuring self, spouse, dependent children and parents. The maximum tax deduction that can be claimed under this section is Rs. 25,000. If any of the persons specified is a senior citizen, the maximum deduction amount is Rs. 50,000.
| Insured | Exemption List |
| Self & family | 25,000 |
| Self & family + Parents | 25,000 + 25,000 = 50,000 |
| Self & family + Parents (senior citizens) | 25,000 + 50,000 = 75,000 |
| Self (senior citizen) & family + Parents (senior citizens) | 50,000 + 50,000 = 1,00,000 |
The provisions under section 80D are:
Any mode of payment (debit cards, credit cards, electronic transfer, etc.) is acceptable for claiming deduction under Section 80D, except premium amount remitted by cash. Payment for preventive health check-up, however, can be made in cash.
Deductions can only be claimed for premiums paid for dependent children. Premium paid for earning kids is excluded in this section.
You can claim an additional deduction of Rs. 5,000 for expenses related to health check-ups. This limit includes health check-up expense of all the dependents in the family.
| Insured | Exemption List |
| Self & family | 25,000 |
| Self & family + Parents | 25,000 + 25,000 = 50,000 |
| Self & family + Parents (senior citizens) | 25,000 + 30,000 = 55,000 |
| Self (senior citizen) & family + Parents (senior citizens) | 30,000 + 30,000 = 60,000 |
Section 80C and 80D
Often times, people confuse Section 80C with Section 80D. Under Section 80C, deductions can be claimed up to Rs. 1,50,000, whereas under Section 80D, deductions can be claimed up to Rs. 1,00,000. Tax benefits can be availed on life insurance premium payment, tax saving fixed deposits, PPF, ELSS, etc. under Section 80C of the Income Tax Act. Section 80D governs the deductions on premium for health insurance policy.
[ You May Also Refer : Deductions under section 80C to 80 U of Income Tax Act 1961 [AY 2019-20/FY 2018-19]]
Tags : deduction under section 80d for ay 2017-18, section 80d of income tax act, section 80dd , deduction under section 80d for ay 2018-19, deduction under section 80d for ay 2016-17, Section 80D limit increased to Rs 50,000 for senior citizens, Budget 2018,income tax slab rates for senior citizen for ay 2018-19 income tax slab rates for senior citizen for ay 2018-19, income tax slab rates for senior citizen for FY 2018-19income tax slab rates for senior citizen for FY 2018-19,income tax slab rates for super senior citizen for ay 2018-19 income tax slab rates for super senior citizen for ay 2018-19, income tax slab rates for super senior citizen for FY 2018-19 income tax slab rates for super senior citizen for FY 2018-19,Non Senior Citizen Non Senior Citizen, NRI NRI, NRI or HUF or AOP or BOI or AJP NRI or HUF or AOP or BOI or AJP, Rebate Rebate, Residential Individual Residential Individual, secondary and higher education cess secondary and higher education cess, section 87A section 87A, Senior Citizen Senior Citizen, Super Senior Citizen Super Senior Citizen,Section 80D: Income Tax Deduction For Health Insurance for AY 2017-18, Section 80D: Income Tax Deduction for A.Y. 2019-20
In case of any Doubt regarding Membership you can mail us at [email protected]
Join Studycafe's WhatsApp Group or Telegram Channel for Latest Updates on Government Job, Sarkari Naukri, Private Jobs, Income Tax, GST, Companies Act, Judgements and CA, CS, ICWA, and MUCH MORE!"
