FYI: You can claim tax benefit for treatment of some diseases

Like everything else, the cost of medical treatments too have risen over the years. The scary part is the cost of treatment can easily break your back, even if you have a medical insurance cover,especially if the treatment is for critical illnesses. But did you know that you could get tax benefit for treatment of types of certain diseases? The Section 80 DDB of the Income Tax Act deals with this.

“The treatment could be for self or dependants like your spouse, children, parents and siblings,” Anil Rego, chartered accountant and wealth adviser, said.In the case of siblings, they have to be wholly dependent on you.

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[caption id=“attachment_75132” align=“alignleft” width=“380”]  There are some diseases for which you can claim tax benefit. AFP image[/caption]

You can avail of a deduction of maximum Rs 40,000 if you are less than 60 years old during the previous year. If you are a senior citizen (more than age 60), then the deduction limit is Rs 60,000. So, though the above mentioned amounts are the maximum limit, your actual deduction will be the amount you actually paid, irrespective of the limit or age.

“Diseases which need the services of a neurologist, oncologist, urologist, haematologist (blood diseases), immunologist or such other specialists are the diseases covered under this section,” Rego said.So, if you or anyone in your family (dependents) have aliments like renal disease, thalassaemia, any type of cancer, or neurological diseases, and you’ve paid for the treatment, you qualify for deduction.

Now comes the tricky part, like it or not, you need to submit a certificate from a specialist working in a government hospital as proof of the specified disease. Plus, if you’ve got money for the treatment from your employer or your insurance company, you cannot claim the deduction. But, if you’ve got a part of the entire amount, you can claim the balance amount as deduction.

It is highly unlikely that somebody will really look forward to avail of this deduction. After all, who wants to be sick to claim the deduction. But if you or any of your family members does suffer from the above mentioned condition, there’s nothing wrong in making the most of this section.