You and your family should look to buying health insurance online due to the rising cost of healthcare. It can help if you have medical insurance, whether young or old, to guard against rising medical expenses. The government promotes the purchase of health insurance and permits you to deduct the cost of your premiums from your taxes. You can now manage all aspects of your health insurance using an app for health insurance. Read further to learn more about claiming tax deductions for medical insurance policies. **
Tax Benefits For Health Insurance
Individuals and Hindu Undivided Families (HUF) may be eligible for a tax credit on the cost of their health insurance premiums under Section 80D of the Income Tax Act of 1961. You can buy health insurance online and claim tax deductions for your premiums if your yearly income is taxable. You can benefit from the tax advantages whether you buy a family health insurance policy or an individual health plan. Along with safeguarding you against rising healthcare costs, it helps you save your hard-earned money. ## **
How Do I Claim Tax Advantages For My Health Insurance Policy?
When you submit your Income Tax Returns (ITR) for the relevant financial year, you must include a tax benefit for medical insurance. To receive the health insurance benefits related to tax, follow these steps. **
You must choose 80D in the ‘Deductions’ column when submitting your ITR to deduct the cost of your individual health insurance from your taxable income. **
Select the criteria for the deduction you are requesting. The selection criteria are listed below:
- I and My Family
- Family and Self (above 60 Years)
- Parents plus Self
- Parents (older than 60)
- Parents, family, and the self
- I my family and my parents are older than 60
- Individual (over 60), family, and parents over 60
- Include supporting documentation (the premium payment receipt) so the Income Tax Department can evaluate the documents.
Qualification for Medical Insurance Tax Deductions
Listed below are the requirements for claiming a tax deduction for a health insurance plan under Section 80D of the Internal Revenue Code of 1961:
- People who have purchased medical insurance for their spouse, dependent children, or
- Hindu Undivided Family (HUF) member. **
| Scenario | Tax Deductions Under Section 80D |
| Self and Family Who Are All below 60 years | Rs. 25,000 |
| Self and Family + Parents Who Are All below 60 years | Rs. 25,000 + Rs. 25,000 = Rs. 50,000 |
| Self and Family Who Are All Below 60 years) + Senior Citizen Parents | Rs. 25,000 + Rs. 50,000 = Rs. 75,000 |
| Self and Family Where The Eldest is above 60 years + Senior Citizen Parents | Rs. 50,000 + Rs. 50,000 = Rs. 1,00,000 |
Payment Method For Health Insurance Premium
Listed below are the options for paying the medical insurance plan’s premium. Please be aware that cash payments will not qualify for tax advantages. **
- Online: (Debit/Credit) Net Banking
- Cheque
- Cash
- Demand Draft
By following the guidelines provided by the government and keeping accurate records, you can navigate the process smoothly and make the most of the tax incentives offered for responsible healthcare planning.
Get insured anytime, anywhere! Check out Bajaj Allianz General Insurance website to learn more and download the app now.
**Tax benefits are subject to change in prevalent tax laws.
##All savings are provided by the insurer as per the IRDAI-approved insurance plan. Standard T&C apply
Insurance is the subject matter of solicitation. For more details on benefits, exclusions, limitations, terms, and conditions, please read the sales brochure/policy wording carefully before concluding a sale.
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