Income tax exemption u/s 80DD – (Medical treatment of dependent)

By | 07/23/2018

Under section 80dd income tax deduction act, the taxpayer avails the tax benefit of expenditure made against disabled family member dependent on them.

There is a separate slot available in ITR form (changed from FY 2017-18) to enter the amount u/s 80DD.

80DD under section income tax act

The person is dependent with a disability – What does it mean u/s 80DD.

According to “Disabilities Act of 1995” if the person includes following disabilities said to be disabled.

  1. Mental disabilities
  2. Low vision
  3. Blindness
  4. Leprosy-cured
  5. Hearing impairment
  6. Locomotor disability
  7. Mental illness
  8. Autism

Also Read: Section 80D Income-tax Act – Tax benefit for (Health, Medical Treatment)

These disability are allowed under section 80DD by income tax authority.

Individual or a Hindu undivided family, who is a resident in India are elegible to claim u/s 80DD.

Section 80dd income tax deduction consists of two sub-sections.

Income tax department u/s 80DD required information considering two subsections.

  • The dependent person with a disability
  • The dependent person with a severe disability

80DD options

Documents required to claim u/s 80DD

For the purpose of claiming u/s 80DD some paper trail is mandatory.

Also Read: What is Fees u/s 234F? (Penalty for Late Filing Income Tax Return)

A proper certificate in a prescribed format (Form 101A) required to submit by the authorized person which certified the disability of the person.

Authorized person include:

  • Chief Medical Officer (CMO) or Civil Surgeon of a government hospital.
  • Neurologist having a degree of “Doctor of Medicine” (MD) in Neurology (or, in case of children, a Pediatric Neurologist having an equivalent degree).

Click here to download of Form 10 1A :

Self-undertaking certificate

You need to submit a self-undertaking certificate which states the details of expenditure and the information is correct and verified.

Amount of Deduction under Section 80DD and Tax Saving

The deduction allowed u/s 80DD:

Also Read: Tax deduction u/s “80G” of Income Tax Act (relief on charity)

Particulars Deduction permitted u/s 80DD
Dependent person with disability 75000/-
Dependent person with severe disability 125000/-
  • If the person (dependent)  has at least 40% of any of the specified disability (mentioned above in the article), then he is considered a person with a disability.
  • If the person (dependent)  has at least 80% of any of the specified disability (mentioned above in the article), then he is considered a person with a severe disability.

Note:- If the dependent died and the amount received by the individual, the amount received is taxable under the account of the individual as income.

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Amit Bansal
Amit Bansal
Hey, Amit Kumar Bansal, the man behind this blog. I always passionate about Taxes, Stock Market. This was one of the reasons why I have chosen the field of account. Blogging was not the coincidence it was a proper decision. The main aim of this blog is to help readers to take an informed financial decision. If you like my efforts kindly subscribe to this blog and also let your friends know about this website by sharing.

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