Tax Deduction for Health Insurance Premium

Tax Deduction for Health Insurance Premium

  1. Investments made towards payment of health insurance premiums qualify for a tax deduction under Section 80D of the Income Tax Act. These limits are for FY 2017-18.
  2. Individual assessees can claim deduction for premiums paid towards health insurance of self, spouse, parents and children. HUF can claim deduction for insuring the health of any member of the HUF.
  3. The deduction that can be claimed by an assessee is up to Rs 25,000 for health insurance premium paid for self, spouse and dependent children if under the age of 65 and Rs 30,000 if above the age of 65 years.
  4. A further deduction of Rs 25,000 could be claimed, for buying health insurance policy for parents of the assessee. It is Rs 30,000 if either of the parents is a senior citizen.
  5. The service tax paid on the medical insurance premium is not allowed as a deduction.
Deduction available under section 80D For FY 17-18
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