It’s hard to see your loved ones suffering from any medical emergency. These medical emergencies can
surprise us at any time regardless of your age. That is why it is critical to recognize the significance of health
insurance, no matter how healthy and fit you are, you never know what could be next. Today, lifestyle diseases are
on the rise due to the unhealthy habits that most of us have. Therefore, when it comes to medical insurance, it’s
always better to be safe than sorry.
In India, a vast majority of the population is still uninsured and relies on their savings or borrowings
during any medical emergency. The government encourages everyone to have medical insurance which allows you to take
advantage of tax deductions under Section 80D of the Income Tax Act. This makes it a must-have in your investment
Section 80D allows any individual or HUF (Hindu Undivided Family) to claim and deduct medical insurance
premiums paid in any given year from their total income. Any top-up health insurance and critical health packages
are also eligible for this deduction.
This advantage is accessible not just for purchasing health insurance coverage for yourself, but also if
you are purchasing a policy that covers your spouse, dependent children, or parents.
For individual or HUF taxpayers, insurance can be availed for :
Individual health insurance and family floater policies are eligible for tax deductions under section 80D
of the IT Act. Premiums paid for health insurance for self, spouse, dependent children or dependent parents are
If there is an unemployed male child under the age of 25 or any unmarried female child under the age of
25, both will be eligible dependent children.
Deductions under this act are not available to any other entity. A business or a firm, for example,
cannot claim a deduction under this clause.
You cannot pay insurance premiums for your siblings’ health insurance as they are not eligible for any
tax deduction. Premium payments can be done online or offline, except for cash. Net banking, debit cards or credit
cards, all are accepted for online payment methods.
If you and a parent each paid a portion of the premium cost, you can each claim a deduction for the
amount you paid.
The deduction must be made without disclosing the percentage of the premium amount that is subject to
service tax and cess.
When you’re planning for the future, you would not want to exert pressure on your current income, right?
So, keeping the above things in mind, invest in good comprehensive health insurance. Get tax benefits from Section
80D of the IT Act and secure your family’s future today!
Your email address will not be published. Required fields are marked *
Save my name, email, and website in this browser for the next time I comment.