Section 80DDB

Overview of Section 80DDB

The Income Tax Act included a component called Section 80DDB that enables people who have certain ailments to deduct certain expenses from their taxable income. The Government provides tax deductions to individuals and HUFs under Section 80DDB for certain ailments based on expenses incurred for the treatment of the illnesses specified in the Act. A person may deduct medical expenses for themselves or for dependents under section 80DDB of the Income Tax Act. Dependents can be your spouse, your parents, your kids, or your dependant siblings.

How Much Can One Claim in Deductions Under Section 80DDB of the Income Tax Act?

The patient's age and the actual amount spent are two criteria that affect the deduction amount. The maximum amount of deduction is Rs. 1 lakh in cases where the patient is a senior citizen.

Section 80DDB deduction limits

Diseases Falling Under Section 80 DDB

According to the Income Tax Department, a person may be able to deduct from their taxes the cost of treating any of the following diseases under Sec 80 DDB:

• Neurological diseases that cause more than 40% disability:
• Aphasia
• Motor Neuron Disease
• Dementia
• Dystonia Musculorum Deformans
• Chorea
• Parkinson's disease
• Ataxia
• Hemiballismus
• Malignant Cancers
• AIDS
• Chronic Renal failure
• Thalassaemia
• Haemophilia

Documents Required Under Section 80 DDB

Medical Certificate

According to the law, the taxpayer must present or submit a medical certificate from a recognised medical authority attesting to their handicap. The following people can give you this certificate:

• Those having a Doctor of Medicine (MD) in Neurology or a paediatric neurology degree are qualified as neurologists
• Chief Medical Officer (CMO) of any government hospital or a Civil Surgeon.

Form10-IA

If the dependent has autism, cerebral palsy, or other problems, this form will be required.

Certification of Self-Declaration

The taxpayer must provide a self-declaration certificate attesting that all medical costs, including those for the dependent's training and rehabilitation, were legitimately expended.

Insurance Premium Payment Receipts

Since the self-declaration certificate contains a list of all the medical expenses, this paper is not necessary. However, these receipts are necessary if the taxpayer seeks to deduct any payments made for insurance plans that have been purchased for the disabled dependent.

Prescription Format of Section 80DDB

While a prescription from the right expert in the subject must be obtained, the prescription's content must adhere to the prescribed format. Form 10-I was previously necessary, however that has been rejected. The following criteria must be met in this situation and should be listed in the prescription.

• Patient's Name
• Patient's Age
• The name of the ailment
• The name, address, registration number and qualification of the specialist doctor
• The name and address of the government hospital where the treatment is being provided must be included if it is a government hospital.
• According to the conditions, the hospital's chief physician must sign the paper.
• When filing an income tax return, this prescription form is submitted to the income tax division. ITR filing online hardly ever has any attachments, thus it is advisable to preserve a copy of the prescription for future use.

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