tax-benefits

The Income Tax Act 1961provides various benefits to –

  • Individuals who are differently abled
  • Parents who have differently abled children
  • Individuals taking care of disabled spouse, parents or siblings  
  • Families (HUF) taking care of disabled member

1) Deduction U/s 80U of Income Tax Act, 1961 for Disabled Persons

The Income Tax Act provides Benefit under Section 80U, in the form of a deduction from Taxable Income, to a person with Autism. For availing this deduction, the person should be a resident in India and certified by the prescribed medical authority to be a person with disability (including Autism ) . In case the disablility is 40% or above, deduction is 75,000/-. If the disability is 80% or above, then the deduction is 125,000/-.

Read Blog ‘Tax Deduction Under Income Tax Section 80U’

2) Section 80DD – Deduction in respect of maintenance including medical treatment of a dependant who is a person with disability

Income Tax Act provides Benefit Under Section 80DD, in the form of a deduction from Taxable Income, to an Individual/HUF who has a dependent with Disability including Autism.  For availing this deduction, the disabled dependent should be  certified by the prescribed medical authority to be a person with disability (including Autism) . 

This deduction can be claimed by a Resident Individual/HUF –

  • Who has incurred any expenditure for medical treatment (including nursing), training and rehabilitation of a dependent, being a person with disability (autism etc.) or
  • Has paid or deposited any amount towards an approved scheme (i.e. insurance policy etc) for the maintenance of a disabled dependent. 

In case of disablility is 40% or above, deduction is 75,000/-. If the disability is 80% or above, then the deduction is 125,000/-.  

Read Blog ‘Income Tax Deduction Under Section 80DD in relation to Disabled Dependent’

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