as per the section the deduction provided is rs 40000 or actual exp which ever is less
For example:-
X has spend rs 47000 for which 45000 has been received from insurance company. Now will he get 2000 (45000 -43000) as deduction. Or initially he will get rs 40000( 45000 or 40000 which ever is less) as deduction, but when insurance amount received than deduction will now be treated his income.
Please anyone explain
thanks in advance
As per me it is lower of:
1) Rs.40000 - Insurance Claim (Subject to maximum of 40000)
2) Actual Expense - Insurance Claim
So from the above we can conclude that you are not elegible for 80DDB
Opnion of others are also most welcome
CAclubindia
