Can senior citizens claim Section 80D deduction for dental treatment expenses?

Health insurance

• Uninsured seniors can claim up to Rs 50,000 deduction for medical expenses.
• Dental treatment expenses up to Rs 25,000 can be claimed under Section 80D
• Preventive health check-ups up to Rs 5,000 included in deduction limit

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Section 80D permits senior citizens to claim deductions of up to Rs 50,000 for medical expenses if they are uninsured. Today's Ask Wallet Wise explains that this limit includes preventive health check-ups of up to Rs 5,000, allowing dental expenses to be claimed as a deduction.

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I have incurred Rs 25,000 in medical expenses for dental treatment. As a senior citizen, can I claim this amount as a deduction?

Expert’s Advice: Section 80D of the Income Tax Act, 1961, allows a deduction to an individual, as well as an HUF, in respect of insurance premiums paid for any health insurance policy under the old tax regime.

The deduction available is restricted to Rs 25,000 for a family, which includes the taxpayer, spouse and dependent children. A separate deduction of up to Rs 25,000 is available to the individual in respect of the premium paid for a health insurance policy for parents.

In case the premium is paid for a senior citizen, a higher deduction of up to Rs 50,000 is available under both categories. Within the overall limit of Rs 25,000 or 50,000, a deduction of Rs 5,000 is available for the amount paid for a preventive health check-up.

To help senior citizens who do not have a health insurance policy, the law provides a deduction of up to Rs 50,000 for medical expenses. This includes not only the medicines but also the regular medical consultation fee, diagnostic expenses, hospitalisation, etc. This deduction is available only if the payment is not made in cash.

Within this limit of Rs 50,000, a deduction up to Rs 5,000 can be claimed for a regular preventive health check-up for which payment in cash can be made. This deduction can be claimed by each of the children as well as the assessee and his or her spouse, separately.

So in case the annual regular medical expenses for a senior citizen are significant, the same can be divided among the children, spouse and the assessee to maximise the overall deduction under Section 80D.

You can claim this deduction for payment of Rs 25,000 made to the dentist, provided there is no health insurance policy in your name. It is not relevant who has paid for the insurance policy.