Friends,
If you have planned to take medical insurance policy here are some FAQ's regarding this which everyone would like to know.
Hello, My question is regarding the Deduction under section 80D for Premium paid on Medical Insurance. I work for an IT company, and the company has a tie up with a health insurance company to provide coverage for me, wife and kids, the premium for which is paid by the company. But I have taken additional coverage for my parents, for which the premium is paid by me, from my salary. Can this premium amount be considered for deduction under Section 80D ? What are the documents required to submit for this, while filing the tax return. AAshish K , Banglore
Can the employee claim 80D deduction on the Group mediclaim policy premium by the employer and the employee’s premium deducted from his salary?Has the position changed after the amendment in 80D whereby the necessary condition of payment by cheque has been waived off.Manish Kumar JoshiI am an Individual Paying Mediclaim of Rs 17,000/- for my spouse and myself and Rs20,000/- for my dependent mother who is a senior citizen . I would Like to know what would be the eligible amount of decuction U/s 80D i.e whether it would be a ) Rs 15,000/- ( for my spouse and myself ) + 20,000/- for my mother OR b ) only 15,000 /- OR c ) only Rs 20,000/- . Kindly advise .Jagdish Shah
1.Why is deduction u/s 80D allowed?
The deduction is allowed for
1. buying medical insurance , popularly known as Mediclaim policy.
2. Keeping in effect a medical insurance already bought.
2. How much deduction available?
1. If Mediclaim is bought for any person other than person having 65 years , then Rs 15,000.
2. If Mediclaim is for person having 65 years or more , Rs 20,000.
3. Who can claim deduction?
Individual and HUF making payments for medical insurance.
1. Individual can claim for self, wife, children and parents.
2. HUf can claim for Mediclaim policy on members.
4. What should be mode of payment of insurance premium?
Any mode other than cash will make one eligible for deduction u/s 80D.
5. If office deducts salary for medical insurance for employee and his family , whether the employee can claim deduction u/s 80D?
Yes, for the fact that the mode of payment is any ,other than cash, and It is employee who paid for himself or his family’s insurance.
Get a certificate from the employer regarding deduction of amount for medical insurance purpose.You can claim to the extent the deduction has been made by the employer for medical insurance subject to maximum RS 15,000
Yes, for the fact that the mode of payment is any ,other than cash, and It is employee who paid for himself or his family’s insurance.
Get a certificate from the employer regarding deduction of amount for medical insurance purpose.You can claim to the extent the deduction has been made by the employer for medical insurance subject to maximum RS 15,000
6.If an individual buys Mediclaim for himself and for his parents exceeding 65 years, how much can he claim as deduction?
Good question. Subsection 2 of section provides as under
(2) Where the assessee is an individual, the sum referred to in sub-section (1) shall be the aggregate of the following, namely:
(a) the whole of the amount paid to effect or to keep in force an insurance on the health of the assessee or his family as does not exceed in the aggregate fifteen thousand rupees; and
(b) the whole of the amount paid to effect or to keep in force an insurance on the health of the parent or parents of the assessee as does not exceed in the aggregate fifteen thousand rupees.
(b) the whole of the amount paid to effect or to keep in force an insurance on the health of the parent or parents of the assessee as does not exceed in the aggregate fifteen thousand rupees.
