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Section 80U – Deduction in case of Person with Disability

Eligible assesse – Resident individual with disability (may be ordinarily resident or not ordinarily resident)

Amount of Deduction up to financial year 2014-15

The amount of deduction under section 80U is fixed, irrespective of the amount of expenditure or the amount paid/deposited as under

  • Disability of less than 80% but not less than 40% – Fixed deduction of Rs. 50,000
  • Disability of 80% or more – Fixed deduction of Rs. 1,00,000

Amount of Deduction from financial year 2015-16

The amount of deduction under section 80U is fixed, irrespective of the amount of expenditure or the amount paid/deposited as under

  • Disability of less than 80% but not less than 40% – Fixed deduction of Rs. 75,000
  • Disability of 80% or more – Fixed deduction of Rs. 1,25,000

Certificate – A certificate issued by the medical authority is required for claiming deduction under this section. If the disability requires reassessment, then a fresh certificate has to be obtained. Form no. 10IA is to be filed for this purpose. If the certificate is expiring in a year then also deduction can be claimed in that year but should be renewed to continue deduction in next financial years.

In present day scenario, such certificate is not required to furnish with return of income, but to be submitted to Assessing officer only if demanded by him.

If the handicapped dependant himself takes deduction under section 80U, then deduction under section 80DD is not available in respect of such handicapped decision.

Meaning of disability-

(i) blindness;

(ii) low vision;

(iii) leprosy-cured;

(iv) hearing impairment;

(v) locomotor disability;

(vi) mental retardation;

(vii) mental illness;

Certificates can be obtained from medical authorities as authorized by the government which can include a MD in Neurology, paediatric neurologist Chief Medical Officer (CMO) or Civil Surgeon at a government hospital.

 

7 comments

  1. “Medical authority” means any hospital or institution specified for the purposes of this Act by
    notification by the appropriate Government;
    this definition is given in the act, which hospitals and institutions are notified by the appropriate governement?

    • Rohit Pithisaria

      Yes, it is in the act. I think all the hospitals and institutions (which are having proper medical licenses) will be Medical Authority.

  2. Sir I want to Know that whether this certificate is to be filed for Normal disability or Severe disability or for both?
    and when it should be filed during filing of return when we are claiming deduction under this section or afterwards if demanded by AO?

  3. How will i come to know that at which condition(Less than 40% or Higher than 40%).

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