The Income Tax Act of 1961 offers various deductions to eligible taxpayers, enabling them to reduce their annual tax liabilities. One of the notable provisions, Section 80DDB, provides tax deductions for expenses incurred on specified medical treatments. This section is particularly beneficial for individuals who are bearing the cost of treating certain critical ailments. Below is a detailed breakdown of what Section 80DDB entails, who qualifies, and how to claim this valuable tax deduction.
Section 80DDB under the Income Tax Act 1961 allows taxpayers to claim deductions on medical expenses incurred for the treatment of specific diseases. It covers ailments that are high-cost and long-term, extending support to individuals with serious health conditions. However, deductions under this section cannot be claimed against:
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Section 80DDB deductions are specific to expenses for medical treatment of certain diseases or disorders. Only the actual treatment costs qualify, excluding insurance premiums for health policies, which Section 80D covers instead.
The deduction limit for Section 80DDB depends on the age of the individual receiving the treatment.
These limits apply to the costs borne for the treatment of a specific list of diseases, as defined by the Income Tax Act.
The following individuals/entities are eligible to claim deductions under Section 80DDB:
To claim deductions under Section 80DDB, a taxpayer must obtain a certificate of diagnosis from a qualified specialist. Below is a table of eligible diseases and the specialists authorized to issue certificates:
| Disease | Qualified Specialists |
| Neurological diseases (40% disability+) | Neurologist with DM degree or equivalent |
| Acquired Immunodeficiency Syndrome (AIDS) | Postgraduate specialist in internal/general medicine |
| Hematological disorders (e.g., Thalassemia, Hemophilia) | Hematologist with DM degree or equivalent |
| Malignant Cancer | Oncologist with DM degree or equivalent |
| Chronic Renal Failure | Nephrologist with DM or urologist with MS degree |
To successfully claim deductions, taxpayers must submit documentation to validate the incurred expenses. Here are the documents required for each eligible disease:
The certificate must include the patient’s name, age, and details of the ailment, along with the doctor’s name, address, registration number, and credentials.
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In the past, Form 10-I was used to submit the details of medical expenses for tax deduction claims. Now, prescriptions must include:
A doctor affiliated with a government hospital must sign the form if they provide the treatment there.
To claim deductions under Section 80DDB, you must fill out Form 10-I (formerly known as Section 80DDB form), providing complete and accurate information. Here’s a step-by-step guide:
Section 80DDB is a crucial provision that provides financial relief to taxpayers bearing high medical expenses for specific ailments. By claiming this deduction, taxpayers can alleviate the financial burden associated with the treatment of certain serious diseases. Ensuring compliance with the documentation and eligibility criteria is essential to make the most of this benefit.
No, Section 80DDB covers only medical treatment expenses, not insurance premiums, which fall under Section 80D.
No, only expenses for specific diseases, as outlined by the Income Tax Act, are covered.
Yes, a certificate from a recognized specialist with an approved postgraduate degree is necessary to claim the deduction.
No, only resident individuals and HUFs can claim deductions under this section.
Yes, the deduction limit varies based on age categories: ₹40,000 for those below 60 years, and ₹1,00,000 for senior citizens.
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