80d

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Yash Dave (Querist)
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13 July 2012 if a individual of 30yrs of age pay mediclaim
premium for self of 12000/- and for their dependent parents who are sr citizen of rs 20000/- can he get deduction of 32000/- in 80 d section and if their parents are not sr citizen then what deduction he will get in 80d please explain

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
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13 July 2012 In the similar situation , he will get 12000+15000=27000 as deduction U/s 80D.

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CA.Ganesh

CA.Ganesh (Expert)
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15 July 2012 @ CA Paras Bafna

Sir, as per my understanding deduction under section 80D maximum allowable is 15,000 and if the policy is taken on the life of a senior citizen an additional amount of 5000 will be allowed as deduction. In any case deductible amount can not be more than 20,000

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CA PARAS BAFNA

CA PARAS BAFNA (Expert)
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15 July 2012 Separate deduction is available for the policy of parents. If you will go through Section 80D(2)(a) and 80D(2)(b) you will see that clause (a) For Self & Family
and clause (b) For Parents ....are connected with the word "and" which shows that both are separate deductions.
.
Please also keep in mind ...For AY 2012-13- Senior Citizen's age limit is 65 years and for AY 2013-14 it is 60 years.
.

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CA.Ganesh

CA.Ganesh (Expert)
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15 July 2012 Sir ,

I agree with you sir. But taxmann publication readyreckoner specifically says additional deduction for senior citizen is 5000 ?

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CA PARAS BAFNA

CA PARAS BAFNA (Expert)
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16 July 2012 It means, if the assessee is a senior citizen then he will get 15000+5000=20000
deduction.
.
If such assessee pays premium (in case accepted by any Bold Insurance Company) of his parents , in respect of that premium also, he will get additional Deduction of 20000.
.

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CA.Ganesh

CA.Ganesh (Expert)
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16 July 2012 Dear Sir,
Thanks a lot for the clarification

Regards

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