Section 80D deals with the deduction for medical Insurance
Expense of medical insurance gives you the opportunity to save more tax. Under section 80D of the income tax act, you can get the tax benefit for the insurance premium.
Tax Saving On The Health Insurance Premium of Your Family
For financial year 2015-16, You can get a tax deduction of maximum Rs 25,000 on the health insurance premium for self and family. If you are a senior citizen, you can claim tax deduction on the premium of up to Rs 30,000.
Tax Saving On The Health Insurance Premium of Your Parents
In Addition to above, you can further claim a tax deduction for the insurance premium of your parents. The maximum limit for this deduction is Rs 25,000. If the parents are a senior citizen, the maximum limit is 30,000.
Preventive Health Check Up Tax Deduction
There is another tax benefit under section 80D. You can also claim a tax deduction for the expense of health check up. The maximum deduction allowed under this provision is 5,000. Health check up can be of yourself, your family or parents.
Please note, the deduction of Rs 5000 is not individual. It is the aggregate expense on health checkups of your family. Suppose, you and your spouse both go for the health checkup. You spend a total Rs 10,000 on this regard. In this case, you can claim the maximum tax deduction of Rs 5,000 only.
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