Section 80DDB Deduction – Tax Benefits for Medical Treatment

Section 80 DDB of the Income Tax Act, 1961 enables an assessee to claim deductions for medical expenses for dependent family members. The list of family members includes spouses, children, parents and siblings. For this, the assessee must obtain a certificate from a registered medical practitioner confirming that the individual suffers from a disease listed under Section 80DDB. Keep reading to learn how to raise claims for 80 DDB deductions. 

What Is the 80 DDB Deduction Limit? 

Here is a table outlining the 80 DDB deduction limit applicable to general, senior and super senior citizens:

Who Can Claim Deductions Permitted Under Section 80DDB? 

Section 80 DDB deductions can be claimed by individuals or Hindu Undivided Families (HUFs) for the medical treatment of a dependent diagnosed with specified diseases. Especially, it can be claimed by the person who has borne the medical expenses. If you, your dependent family member or a member of your HUF undergoes treatment for specified ailments, you may qualify for the deduction.

Things to Know While Claiming Section 80 DDB Deductions 

You need to remember the following points before you claim Section 80 DDB deduction: 

• An individual taxpayer can claim tax deductions under this section for children, spouse, parents and siblings.
• For a Hindu Undivided Family (HUF), a dependent includes a family member.
• You need to obtain a certificate to claim a deduction under Section 80 DDB. Several specialists such as neurologists, oncologists, urologists, haematologists, immunologists or other relevant specialists provide such certificates.
• If the taxpayer receives medical reimbursement, insurance claim or claims from the employer, they cannot claim a deduction for that amount. This helps avoid double claim payments to a single assessee.
• You can claim deductions under this section based on the applicable limits.

List of Diseases and Specialists Recognised Under Section 80DDB 

Here’s a quick look at the specific diseases and the medical specialists recognised under Section 80DDB: 

Rules to Obtain Certificate for the Disease for Section 80DDB

Here are the guidelines for obtaining a medical certificate to claim 80 DDB deductions: 

If a patient is being treated in a private hospital, you do not need a certificate from a government hospital.

• In case a patient is undergoing treatment in a government hospital, you need to obtain a certificate from a specialist working full-time with the hospital. The concerned specialist needs to have a postgraduate degree in General Medicine or an equivalent degree, recognised by the Medical Council of India (MCI).
• Earlier it was necessary to obtain a certificate in Form 10-I, which is not required at present.

Things to Mention in the Certificate as per Section 80DDB

Here are the factors that your certificate should include:

• Name and age of the patient
• Disease name
• Specialist’s name, registration number, address and qualification
• Name of the government hospital where the patient is undergoing treatment

Final Word

Section 80DDB of the Income Tax Act allows individuals to claim deductions for medical treatment expenses. The deduction amount depends on the age of the individual. However, note that if medical costs are reimbursed by insurance or an employer, only the remaining amount can be claimed as an 80 DDB deduction.

To manage your medical expenses better, you can also opt for regular interest payouts from FD investments. With Stable Money, you can book fixed deposits at up to 9.10% interest per annum with monthly or quarterly payout options.