Covid related exp - deductions

• The ex-gratia payment received by an employee’s family members has been exempted from being taxed without any limit.
• Financial help of up to Rs 10 lakh from friends and families will be tax-free.
• Tax deductions can also be claimed of up to Rs 25,000 against the premium paid for a health insurance policy.

Keeping in view the financial losses and expenses suffered by people during the Covid-19 pandemic, the Central Board of Direct Taxes (CBDT) had recently made some provisions to help citizens claim tax deductions while filing the Income Tax Return (ITR) against coronavirus-related medical treatment expenses.