Under section 80DD of the income tax act, any resident individual or HUF can claim tax deduction for the medical treatment of an individual dependent on him having disability or severe disability. This deduction amount also includes the premium paid towards the insurance plans specifically designed for disabled dependents.
Eligibility Criteria for Deduction under Section 80DD
The eligibility criteria for deduction under section 80DD are as follows –
Who qualifies as a dependent as per income tax laws?
- In case of individual - Spouse, children, parents, brother & sister will be considered as dependents.
- In case of HUF, any member of Hindu undivided family (HUF) will be considered as dependent.
What kind of disabilities or severe disabilities covered under Section 80DD?
The following disabilities or severe disabilities are covered under section 80DD of the income tax act, 1961 –
- Low vision
- Hearing impairment
- Loco motor disability
- Mental illness
- Mental retardation
- Cerebral palsy
Who can certify an individual as a disabled person?
The following medical authorities can certify an individual as a disabled person –
- A Neurologist with MD in neurology
- A Civil Surgeon or Chief Medical Officer (CMO) of a government hospital
- A Pediatric Neurologist (in case of children) having an equivalent degree
Deduction Amount under Section 80DD
In order to claim deduction under section 80DD, you need to know that whether the dependent person is suffering from disability or severe disability -
- Form 10-IA ( if the disabled person is suffering from Autism, Cerebral palsy or multiple disabilities)
- Medical certificate
- Self-declaration certificate
- Receipts of insurance premium paid
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