If you are buying a health Insurance policy, you should know the recent tax changes associated with it.
Having a health policy adds to your financial safety and security at times of emergency. Health insurance also comes with tax benefits. So, if you are buying a health Insurance policy you should know the recent tax changes associated with it. You can now save more tax while buying a health policy that in previous years. The total amount on which tax deduction can be claimed has increased to Rs 1 lakh from the previous Rs 60,000.
Manoj Sharma, Co-Founder and Head of Finance, Policybazaar.com told Moneycontrol these 5 relevant points that how you can get a deduction on buying health insurance policy:
=> Any individual or HUF can claim the deduction on the health insurance premium paid for self, spouse, dependent children and parents under section 80 D of the Income Tax Act. The maximum deduction allowed for the premium paid for self, spouse and children is Rs 25000. You can claim an additional deduction on the premium paid for parents’ health insurance policy. If you have bought a policy for your parents who are not senior citizens, the deduction amount will be Rs 25000. However, if the parents are senior citizens, the deduction amount will be Rs 50000. This also means if you and your parents both are senior citizens, the deduction amount will go up to Rs 50000 + Rs 50000= Rs 100000.
=> For senior citizens above the age of 60 years, who are not eligible to take health insurance, deduction is allowed for Rs 50000 towards medical expenditure.
Having a health policy adds to your financial safety and security at times of emergency. Health insurance also comes with tax benefits. So, if you are buying a health Insurance policy you should know the recent tax changes associated with it. You can now save more tax while buying a health policy that in previous years. The total amount on which tax deduction can be claimed has increased to Rs 1 lakh from the previous Rs 60,000.
Manoj Sharma, Co-Founder and Head of Finance, Policybazaar.com told Moneycontrol these 5 relevant points that how you can get a deduction on buying health insurance policy:
=> Any individual or HUF can claim the deduction on the health insurance premium paid for self, spouse, dependent children and parents under section 80 D of the Income Tax Act. The maximum deduction allowed for the premium paid for self, spouse and children is Rs 25000. You can claim an additional deduction on the premium paid for parents’ health insurance policy. If you have bought a policy for your parents who are not senior citizens, the deduction amount will be Rs 25000. However, if the parents are senior citizens, the deduction amount will be Rs 50000. This also means if you and your parents both are senior citizens, the deduction amount will go up to Rs 50000 + Rs 50000= Rs 100000.
=> For senior citizens above the age of 60 years, who are not eligible to take health insurance, deduction is allowed for Rs 50000 towards medical expenditure.
