Section 80D of the Income Tax Act provides a deduction of up to ₹25,000 in respect of the premium paid towards health insurance of self, spouse and dependent children. This section further, allows a deduction of up to ₹25,000 for the premium paid towards the health insurance policy of the assessee’s parents aged below 60 years and ₹50,000, in case assessee’s parents are aged above 60 years.Â
Please note that it does not matter whether parents are dependent or not. Further, to claim the deduction on the premium paid towards the health insurance, the payment must be made through the bank.
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Deduction in respect of preventive health check-up
Section 80D also allows a deduction of up to ₹5,000 in respect of payments made towards preventive health check-ups of self, spouse, dependent children or parents made during the previous year. Payment on account of preventive health check-ups may be made in cash.
The deduction of ₹5,000 is inclusive of the overall limit of ₹25,000 or ₹50,000 as the case may be.
Maximum Limit of Deduction Amount that can be claimed under Section 80D
