Deduction for health insurance premium

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This query is : Resolved

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This discussion explores whether an individual can claim a tax deduction under Section 80D for health insurance premiums paid from their wife's bank account, even if the policy is in the wife's name. While one user suggests it might be permissible if transferred via banking channels, the consensus leans towards the proposer of the policy being the one eligible to claim the deduction.

Ashish Agarwal

Ashish Agarwal (Querist)
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23 June 2021 My friend bought medical insurance for his dependent parents on which he wants to claim tax deduction u/s 89D. However he made the payment from his wife's bank account as he was getting a special discount on the premium by making the payment through that bank. Can he transfer the same amount to his wife's account and claim 80d deduction on his ITR ( Wife is not income tax payee) ? Or does he have to make premium payment from his own account only to claim benefit of 80D ?

CMA Poornima Madhava

CMA Poornima Madhava (Expert)
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23 June 2021 I don't think there is any mandatory requirement to transfer the premium from one's own bank account. Requirement is that the premium should not be paid in cash. I think if the premium is transferred to the wife using banking channels, then 80D deduction should be available. Let's see if anyone has any other view on this.

Ashish Agarwal

Ashish Agarwal (Querist)
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23 June 2021 Thanks for your opinion. Appreciated

Ashish Agarwal

Ashish Agarwal (Querist)
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23 June 2021 Does anyone have a definite answer to my query please ?