Medicalim u/s80d

This query is : Resolved

Ritika Ahuja (Querist)
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16 August 2011 I want to take a mediclaim for my mother and avail of the tax benefit in my name as I would be paying the premium. According to sec 80D, I believe you can take a mediclaim policy for dependant parents for availing tax benefits.

My mother is also filing her returns, showing tution, interest and dividend from shares & mutual funds as sources of income. Though her income has always been below the minimum tax slab.

My query is: can I say that she is dependant on me and avail the tax benefit in my name?

O.D.SHARMA

O.D.SHARMA (Expert)
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16 August 2011 Yes u can claim the deduction.

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
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16 August 2011
We are always dependent on our mothers and as such we shall remain as a dependant.
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You can claim deduction irrespective of the factor -whether parents are dependent or not.

Tushar Desai

Tushar Desai (Expert)
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16 August 2011 No. In Ritika's case, she is going to show her mother dependent on her. But, Ritika's mother is having her own income. She is not dependent on Ritika.

So, Ritika can claim benefits for Mediclaim. But, She can't claim additional 5000/- benefit for dependent parents. Only regular slab allows her the deduction.

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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16 August 2011 The issue may be viewed in a different perspective and strictly according to law which is given here under.
1) 80DD(2) (a) deals with deduction for the health insurance of assessee or his family. Family means the spouse and dependent children as per explanation to the said section.
2) 80DD(2)(b)deals with health insurance of the parent or parents.
The issue raised is covered under clause (2) above wherein ,the words "dependent" has not been used by the legislature.
Therefore ,the question of 'dependent' does not arise in a case where premium is paid on account of parent(s) meaning thereby, in the raised issue deduction u/s 80DD can be availed ,subject to the satisfaction of other conditions specified therein.

Vivek Mehta (CA, DISA,CS, MBA)

Vivek Mehta (CA, DISA,CS, MBA) (Expert)
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16 August 2011 Mr. B. Chackrapani Warrier is very correct in law, that there is no quesion of the dependency in the law, and you can very well claim the deduction of the mediclaim premium that you pay in respect of the parents policy,being other conditions satisfied.

Tushar Desai

Tushar Desai (Expert)
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16 August 2011 thanks everyone for updating my knowledge.