Income Tax deduction for medical treatment U/s Section 80DDB

Who can Claim Deductions under Section 80DDB?

Under Section 80DDB of the tax Act, 1961, taxpayers can claim a deduction for medical treatment of certain specified ailments for self or dependent. This sort of deduction is roofed in Chapter VIA of the tax Act, 1961. The citizen of India can claim deduction under this section. so as words, this suggests that tax deductions are often claimed, as long as the concerned entity has been living within the country for that tax year and therefore the expenses concerning medical treatment are incurred on self or a loved one, like spouse, parent, or sibling, who depends on them.

Deduction allowed under Section 80DDB

Presently, the deductions available under Section 80DDB are : 

How many deductions are often Claimed under Section 80DDB?

Deductions amounting to the subsequent figures are often claimed under Section 80DDB:

For the financial year 2014-15 onwards (Assessment Year 2015-16)

• An assessee is eligible to say tax write-off of Rs. 40,000 or the particular amount paid, whichever is lower.
• Senior citizens, above the age of 60 years, are eligible for tax write-off of Rs. 60,000 or the quantity actually paid, whichever is lower.

From the financial year 2015-16 onwards (Assessment Year 2016-17)

• An assessee is eligible for a tax write-off of Rs. 40,000 or the particular amount purchased medical treatment, whichever is lower.
• Senior citizens, between the ages of 60 years and 80 years, can claim a tax write-off of Rs. 60,000 or the particular amount spent on the medical treatment, whichever is lower.
• Super senior citizens, aged above 80 years, are eligible for tax write-off of Rs. 80,000 or the particular amount purchased the medical treatment, whichever is lower. From the financial year 2018-19 onwards (Assessment Year 2019-20)
• An assessee is eligible to say tax write-off of Rs. 40,000 or the particular amount paid, whichever is lower.
• Senior citizens, above the age of 60 years, are eligible for tax write-off of Rs. 1,00,000 or amount actually paid, whichever is lower.

Diseases or Medical Ailments Specified under Section 80DDB

According to the Tax Department, the following are the eligible diseases or ailments that are taken into consideration for claiming tax deduction under section 80DDB:

(1) Neurological diseases, where the incapacity level is certified to be of 40% and more -

• Dementia
• Dystonia Musculorum Deformans
• Aphasia
• Motor Neuron Disease
• Ataxia
• Chorea
• Hemiballismus
• Parkinson's Disease

(2) Malignant Cancers

(3) Full Blown Acquired Immuno-Deficiency Syndrome (AIDS)

(4) Chronic kidney failure

(5) Hematological disorders

• Hemophilia
• Thalassemia

Documents Required to say Deduction under Section 80DDB

For exposure under Section 80DDB of the tax Act, 1961, the assessee possesses to provide proof that the medical treatment has actually taken place. it's mandatory to get a certificate from a prescribed authority, from whom the medical treatment has been availed if one wishes to say deduction under this section.

According to the Tax Department's website, the subsequent specialists can issue certificates under section 80DDB:

Disease Specialist

The ability level is certified to be 40% and above (as mentioned under the heading ‘Diseases or Medical Ailments specified under Section 80DDB' for diseases listed in point 1 (a) - (h)) A Neurologist with a Doctorate of Medicine (D.M.) degree in Neurology or any equivalent degree that's recognized by the Medical Council of India

For Malignant Cancers An Oncologist with a Doctorate of drugs (D.M.) degree in Oncology or any equivalent degree that's recognized by the Medical Council of India

For Full Blown Acquired Immune-Deficiency Syndrome (AIDS) Any specialist holding a postgraduate degree generally or internal medicine, or any equivalent degree that's recognized by the Medical Council of India

For Chronic Renal failure A Nephrologist with a Doctorate of drugs (D.M.) degree in Nephrology or a Urologist with a Master of Chirurgiae

(M.Ch.) degree in Urology or any equivalent degree that's recognized by the Medical Council of India

For Hematological disorders A specialist holding a Doctorate of Medicine (D.M.) degree in Hematology or any equivalent degree that's recognized by the Medical Council of India

Note - Just in case a patient is receiving medical treatment during a government-run hospital for any of the ailments mentioned above, the prescription is often issued by any specialist who works full-time therein hospital, holding a post-graduate degree generally or general medicine or any equivalent degree, recognized by the Medical Council of India.

From whom to take this certificate?

• Patients whose treatment is done in a private hospital can obtain the certificate from any specialist practicing there.
• If the treatment is done in a government hospital, the certificate must be obtained from a specialist and must be working full-time in that hospital. The certificate should also include the name and address of the hospital.
• The specialist should be a postgraduate degree in General Medicine or an equivalent degree recognized by the Medical Council of India (MCI).
• Ensure that the certificate includes all necessary details as per the requirements specified in Rule 11DD of the Income-tax Rules.
   

What should be Mentioned within the Prescription?

The prescription is needed in supporting of the diseases or ailments must contain:

• The patient's name
• The patient's age
• Name of the disease or ailment
• The specialist's name
• The specialist's license number
• The specialist's address
• The specialist's qualification

Budget 2018: Amendment to Section 80DDB

While proposing Budget 2018, minister of finance Arun Jaitley provided a serious relief to taxpayers by enhancing the tax write-off for medical treatment of senior citizens. ranging from the Financial year 2018-19, the utmost tax write-off which will be claimed under Section 80DDB for the medical treatment (of specified ailments) of senior citizens (60 years and above) is Rs. 1,00,000. The limit until then had been Rupees Sixty Thousand for senior citizens (60 years to 80 years) and Rupees Eighty Thousand for most super senior citizens (80 years and above). This amendment shall be applicable from April 1, 2019, and can accordingly apply in reference to the assessment year 2019-20 and therefore the subsequent years.