Budget 2015 Makes Tax Payers Happy With These Measures

2. Medical Expenditure Under Section 80DDB: A deduction is allowed to resident individuals with respect to medical expenditures incurred on self or dependent relatives. For resident individuals of 80 years or above, the deduction has been raised to Rs. 80,000 in terms of certain diseases instead of Rs.60,000.

Instead of certificate, the tax payer can obtain a prescription from a doctor to claim for such deductions. Moreover, if the amount is received back under insurance by the insurer, the deduction allowed under section 80DDB will be reduced by the reimbursed amount.

3. Section 80DD And Section 80 U: The limit of the deduction under section 80 U for person with disability is proposed in this year’s financial budget by the Finance Minister.

According to the proposed budget such residents will be allowed to be benefited with the deduction for expenditure on medical treatment which is upto Rs.50,000 in  case of disability  and in case of severe disability it is upto Rs.1,00,000.

The provision under 80DD of the income tax Act has also been reformed by increasing the limit to Rs.75,000 for a person with disability and Rs. 1,25,000 for severe disability cases.

Read More: Post Budget Reactions From The Financial Top Guns Of India