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There is no explicit requirement of proof submission at the time of claiming tax benefits under Section 80D.
With the ever-increasing cost of healthcare in India, it is getting more difficult to cater to illnesses, which are also on the rise. Health insurance policies act as financial backups to provide relief from such medical distress.
Among the different benefits that health policies offer, tax deductions are one of the prominent advantages. Payments that are made towards health policy premiums can qualify for tax deductions under Section 80D of the Income Tax Act (1961).
Is 80D Deduction Proof Required To Claim Tax Benefits?
There is no explicit requirement of proof submission at the time of claiming tax benefits under Section 80D. However, you are advised to maintain a proper record of all your expenses throughout the year, including regular or senior citizen health insurance premium receipts, test reports, medical bills and other medical expenses.
It is a precautionary measure that may prove helpful when your employer asks you to provide documentary evidence of the tax deductions at the time of providing Form 16 for filing tax returns. Moreover, if you are undertaking the process of tax filing independently instead of filling out Form 16, your process of availing tax deductions will be smoother when you maintain a record of all your bills.
What Does Section 80D Mean?
Now that you know that under Section 80D, deduction proof is not required, let’s understand what Section 80D means. All individuals or those belonging to Hindu Undivided Families who have health policies for themselves and their families have the advantage of claiming tax deductions under the Income Tax Act’s Section 80D. Here is a table of tax deductions that are permissible under this Section of the Income Tax Act (1961):
| Insured Individuals | Premium Paid for Self, Children and Family | Premium Paid for Parents | Tax Exemption Under Section 80D |
| Individuals and parents below 60 years | 25,000 | 25,000 | 50,000 |
| Individuals and family below 60 years and parents above 60 years | 25,000 | 50,000 | 75,000 |
| Individuals, family and parents above 60 years | 50,000 | 50,000 | 1,00,000 |
| HUF members | 25,000 | 25,000 | 25,000 |
| Preventive Health Check-up (within the overall limit) | 5000 | 5000 | 5000 |
Thus, paying premiums for health policies not only helps you get financial assistance at the time of medical emergencies but also allows tax deductions when filing tax returns.
Is 80D Preventive Health Check-up Proof Necessary?
Proof for preventive health check-ups under Section 80D is necessary, Preventive health check-ups are generally covered under health insurance policies, but you can independently perform this check-up and claim tax deductions for the same under Section 80D.
Annual preventive health check-ups involve screenings and tests to monitor an individual’s health and to detect any illness in the body at an early stage. These check-ups are used to identify potential health risks and prevent them from getting serious or complicated.
Conclusion
It is clear from the above that proof to claim under section 80D is not mandatory. However, it must be noted that you need Section 80D health check-up proof to claim deduction for the amount you spent on preventive health check-ups.
Hence, health insurance policies not only provide financial coverage for your medical expenses but also provide you financial relief when filing tax returns.
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