Mediclaim or Health Insurance deduction you can
claim for yourself and parents for FY-2020-2021
Deductions
are the eligible expenses notified by the Income tax act which the assessee can
claim against the income in order to reduce his total income and ultimately
save his taxes.
Investing
in various schemes of notified by government will help you ultimately reduce
the tax.
There
are various deduction from Section 80C to 80U available to Individuals and HUF.
Section
80D is applicable to individuals and HUF for all the medical expenses he does.
An
assessee can get deduction under section 80D as follows:
a. In
case of individual a deduction of Rs. 25,000 will be applicable if medical
insurance is taken for self, spouse and dependent children. The assessee will
get an additional deduction of Rs. 25,000 for the mediclaim of parents if they
are less than 60 years and if they are more than 60 years of age then assessee
is eligible for maximum of Rs. 50,000 deduction on parents mediclaim premium.
b. In
case both the assessee and the parents are more than 60 years then both
will get a deduction of Rs. 50,000 each i.e. the assessee will get a total
deduction of Rs. 1,00,000 under section 80D.
c. In
case of HUF the assessee will get a maximum deduction of Rs. 25,000.
d. In
case of Non resident individual the assessee will get a maximum deduction of
Rs. 25,000.
The
above provision can be summarised as below:
Covered Individuals
|
Maxiumum deduction for
self, family and children
|
Maxiumum deduction for
parents
|
Total Maximum deduction
under 80D for Individual
|
(Amt in Rs)
|
(Amt in Rs)
|
(Amt in Rs)
|
|
Self, family and parents below 60 years
|
25,000
|
25,000
|
50,000
|
Self and family but parents above the age of 60
|
25,000
|
50,000
|
75,000
|
Both the individual and parents are
above 60 years of age |
50,000
|
50,000
|
1,00,000
|
Members of HUF
|
25,000
|
25,000
|
25,000
|
Non resident
|
25,000
|
25,000
|
25,000
|
Important Points to be Remember while claiming deduction in
Section 80D of Income Tax
1. The maximum deduction under 80D shall include expense paid on preventive health check up for a maximum of Rs. 5,000.
2. Senior
citizen” means an individual resident in India who is of the age of sixty years
or more at any time during the relevant previous year.
3. Family
means the spouse and dependant children of the assessee.
4. Non
resident will get maximum deduction of Rs. 25,000 even if he or his parents are
of more than 60 years of age.
5.
Payment should be made in any mode other than cash.
6.
Contribution towards health insurance plan has to made to a scheme as specified
by the Central Govt./ approved by IRDA.
7.
Medical premium paid towards brother, sister or any other relative cannot be
considered as deduction under 80D.
8.
Premium paid on medical insurance of independent children is not eligible for
deduction.
9. For FY
2019-20 you can pay the medical premium till 30 June 2020 and still claim
deduction for FY 2019-20 Income Tax Returns, Individuals have option to select
which Financial Year they want to claim if the premium is paid in between 1
April 2020 to 30 June 2020, FY 2019-20 or FY 2020-21.
