Save Rs 499 on a 2-Year Ad-Free CAclubindia Pro Membership. Subscribe Now!

Taxability on medical insurance claim

2348 views

Save Share

Chaudhary Mohit Kumar

25 Points Posted on 05 March 2023

Whether medical insurance claim received from insurance company taxable or not

is insurance company liable to deduct TDS before reimbursement of medical calim
plz explain

Replies (5)

Quick Summary

This discussion clarifies whether medical insurance claims received from an insurance company are taxable. Generally, reimbursements for medical expenses incurred are not considered taxable income. Furthermore, insurance companies are typically not liable to deduct Tax Deducted at Source (TDS) before making these payments.

Income Tax Wala: (Fin. Expert)

Chartered Accountants

2015 Points Posted on 05 March 2023

1. medical insurance received from company is part of salary hence taxable. how ever you can get deduction u/s 80D for the same

2. any payment received from insurance company is not liable to tds.

for more details click below:

Complete Guide for Medical Insurance

sabyasachi mukherjee

Profession Business

28246 Points Posted on 05 March 2023

From the recent assessment year sec 115BAC is applicable. So I that case there are certain restrictions.

Chaudhary Mohit Kumar

25 Points Posted on 05 March 2023

Assessee is non salary person

CA Raj Doshi

Practising CA

8954 Points Posted on 06 March 2023

Medical insurance claim received from insurance company is not taxable since it is essentially a partial/full reimbursement of medical expenses incurred.

There is no provision casting liability for tds deduction on such payments.