Deduction u/s 80D is available to the following:
1.An Individual;
2.A hindu undivided family(HUF)

Deduction u/s 80D is available to an individual for his own health , spouse and dependent children. An individual can also claim deduction u/s 80D for his parents (whether dependent or not). deduction in respect of parents health of an individual is in addition to the above deduction.

PERMISSIBLE DEDUCTION U/S80D:

1. Amount paid for medical insurance or Rs. 15,000/- for his own health or his family(spouse & dependent children)
2.Amount paid for the health of his parents whether dependent or not OR Rs. 15,000(Maximum). but if the parents are senior citizens, the above amount of deduction increased to Rs. 20,000(maximum).

therefore , an individual can get maximum deduction u/s 80D either Rs. 30,000(Rs.15,000 for himself & family & Rs. 15,000 for parents) OR Rs. 35,000( if the parents are senior citizens)

Example:
An individual assessee pays (through any mode other than cash) for Medical insurance premium during the previous year out of his taxable income as under:

a) Rs. 12,000 on his own health & on the health of his wife & dependent children.
b) Rs. 17,000 on the health of his
parents.

total amount paid by the individual is Rs. 29,000. but he will get deduction only for Rs. 27,000 (Rs. 12,000 for himself & family & Rs. 15,000 for his parents).

But if the parents are senior citizens he will get benefit of Rs. 29,000 because in case of senior citizen deduction is allowed upto Rs. 20,000.

NOTE:

1.Deduction in respect of dependent children in case of male is upto the age of 25 years is allowed & in case of female child upto her marriage.
2.Ddependent children includes legitimate of legally adopted childrens.

CONDITIONS TO AVAIL THE DEDUCTION U/S 80D:

1.Payment shall be made by any mode of payment other than cash. If the payment for the policy is made in cash than deduction under this section is not allowed.
2.Payment shall be made out of income chargeable to Tax.
3.Payment shall be as per GIC scheme approved by the central government or any other insurer as approved by IRDA.

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5 Comments on ALL ABOUT DEDUCTION U/S 80D FOR MEDICLAIM

  1. Kamna Jain says:

    I have paid premium for mediclaim policy of may parent through cheque, though as per the policy certificate my father’s name is apprearing as proposer. Can I still claim the deduction based on the copy of the statement having reference to the cheque no

    • Ranjeet Gill says:

      hi,

      If mediclaim amount is paid by you from your own income & from your bank , then you will get the benefit U/S 80D.

  2. Ajay Kumar says:

    Dear Sir/Madam,

    I had opted ICICI Lombard Health Insurance in Jan 2011 of Rs.15,000.00 for myself, wife & two kids. As ICICI Lombard has tie-up with HDFC Bank Credit card for installment option of 24months EMI in this plan. Monthly installment of the Health Insurance is comming to my HDFC Credit card of approx Rs.700.00. Through Credit card total amt. of Rs.15,000.00 is paid to ICICI Lombard Health Insurance & my card limit is blocked for the same amt.
    As per 80D I am able to claim the health Insurance as per ICICI Lombard, Now my question is for FY 2010-11 what the amt on which I will get Health Insurance benefit u/s 80D is
    on The Total Rs.15,000.00 which is paid through Credit Card
    or The Actual premium which is paid by myself by Cheque to HDFC Credit card for FY 2010-11 i.e. Rs.700.00 X 03months= Rs.2,100.00

    What is process to claim the same.

    Regards,
    A Kumar

  3. Hari says:

    Hi

    I am planning to take a medi-claim policy for my parents alone (Senior citizens) for Rs 20,000.00
    Can i claim under 80D?

    • Ranjeet says:

      Hi,

      Yes you can claim over & above upto Rs 25000 for mediclaim taken for Senior citizens . Make sure payment of policy should be by any medium except Cash.

      Regards

      Ranjeet gill

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