What is the maximum limit of deduction under Section 80D for health insurance fo
Practice Questions
Q1
What is the maximum limit of deduction under Section 80D for health insurance for a family including parents?
25,000
50,000
75,000
1,00,000
Questions & Step-by-Step Solutions
What is the maximum limit of deduction under Section 80D for health insurance for a family including parents?
Step 1: Understand that Section 80D is a part of the Income Tax Act in India that allows deductions for health insurance premiums.
Step 2: Identify the types of family members covered under this section: yourself, your spouse, children, and parents.
Step 3: Know that the maximum deduction limit for health insurance premiums paid for yourself, your spouse, and children is Rs. 25,000.
Step 4: If your parents are senior citizens (aged 60 years or above), the maximum deduction for their health insurance is Rs. 50,000.
Step 5: Add the two amounts together: Rs. 25,000 (for your family) + Rs. 50,000 (for senior citizen parents) = Rs. 75,000.
Step 6: If your parents are not senior citizens, the total maximum deduction is Rs. 25,000 (for your family) + Rs. 25,000 (for parents) = Rs. 50,000.
Step 7: The maximum limit of deduction under Section 80D for health insurance for a family including parents can go up to Rs. 1,00,000 if both parents are senior citizens.
