What are tax advantages for mediclaim coverage purchased by me for myself and oldsters?

I’m a bachelor aged 45 years. How a lot tax advantages is out there for medical health insurance coverage bought by me for myself and my mother and father who’re Senior Citizens? – Satya Prakash

Answer: Under Section 80D of the Income Tax Act you’re entitled to say deduction for premium paid for medical health insurance insurance policies, popularly generally known as mediclaim. There are two classes for whom you possibly can pay the premium and declare this deduction. Under the primary class is roofed your loved ones which incorporates you, your partner and all of your dependent kids. Under the second class you possibly can declare deduction for medical health insurance premium paid to your mother and father whether or not financially depending on you or not.

The quantity of most deduction obtainable for every of the class is as much as Rs. 25,000. In case the particular person, in respect of whom the premium is being paid, is a over 60 years of age, the utmost deduction obtainable goes as much as Rs. 50,000. So it is possible for you to to say a most deduction of as much as Rs. 75,000 i.e. ₹25,000 for you and ₹50,000 to your mother and father as they’re senior residents.

Within these total limits of ₹25,000 and Rs. 50,000 because the case could also be, you possibly can declare an quantity as much as ₹5,000 every in respect of any quantity paid for preventive well being check-up for your self in addition to to your mother and father. Please notice that the premium of mediclaim shouldn’t be made in money in any other case you will be unable to say the tax advantages. Cash, nevertheless, could be paid for preventive well being check-up. The quantity paid for medical testing carried out previous to hospitalisation is just not eligible below this sub restrict of Rs. 5,000.

The author is a tax and investments skilled and could be reached at jainabalwant@gmail.com

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