inBudget 2022: Finance Minister Nirmala Sitharaman, while presenting the budget for the year 2022-23, may not have given any relief in tax exemption to the common man, but has made a new provision in the exemption given in the case of disabled persons. Now tax exemption will also be provided on the benefit of life insurance policy by the parent or guardian of the disabled person.
In the Budget 2022, a new tax benefit has been introduced for the parents and guardians of the disabled person. As per the new tax SOP, if a parent or guardian of a disabled person as a beneficiary buys a savings life insurance policy, the premium paid for the same can be claimed as a deduction from the gross income. May go. This tax exemption can also be claimed in cases where the policy benefits or payments commence while the buyer of the policy is still alive. It is proposed to add new tax relief under Section 80DD of the Income Tax Act.
Till now there are two options for tax deduction in section 80DD – Rs 1.5 lakh in case of severe disability and Rs 75,000 in case of other disability if you pay for the treatment of disabled dependents May go.
Finance Minister Nirmala Sitharaman said in her budget speech – “Parents or guardians of a disabled person can take an insurance scheme for such a person. The current law provides for deduction to a parent or guardian only if a lump sum payment or annuity is available to a differently abled person on the death of the parent or guardian. There may be situations where disabled dependents may require payment of annuity or lump sum amount even during the lifetime of their parents/guardians. I thus propose to allow payment of annuity and lump sum amount to disabled dependents on the parent/guardian during the lifetime of the parent/guardian i.e. attaining the age of sixty years.”
Existing provision of section 80DD, providing for deduction in respect of expenses for (a) medical treatment (including nursing), training and rehabilitation of a dependent to an individual or a joint Hindu family resident in India does.
What does section 80DD say, if you are spending on the treatment of a disabled person, then you can get tax exemption under this section. A disabled person can have parents, wife, children, brothers and sisters, depending on the person concerned. A Hindu Undivided Family (HUF) can have any member of the family. If the dependent person is 40 percent or more but less than 80 percent disabled, then the income tax exemption can be up to 75 thousand rupees. If the person is severely disabled i.e. more than 80 percent then the tax benefit will be Rs 1.25 lakh. A disability certificate from a recognized medical authority will be required for this claim.