Tax Matters

Expenses under 80 DDB

I underwent a laser surgery for my eyes, which cost me Rs 23,000. As it was for my medical treatment, will the expense qualify for deduction under Section 80 DDB? – K. Chitra

Section 80 DDB allows a deduction to a resident individual if he incurs expenditure on medial treatment of a disease or an ailment specified by the board if the treatment is for themselves or a or a dependent.

The deduction will be the amount actually incurred or Rs 40,000 whichever is less (Rs 60,000 if the patient is a senior citizen).

For claiming this deduction, the assessee must furnish a certificate in the prescribed form from a specialist working in a Government hospital.

The diseases and ailments are prescribed in Rule 11DD are: Neurological diseases where the disability level has been certified to be of 40 per cent and above; Dementia; Dystonia Musculorum Deformans; Motor Neuron Disease; Ataxia; Chorea; Hemiballismus; Aphasia; Parkinsons Disease; Malignant Cancers; Full blown acquired immuno – deficiency syndrome (AIDS); Chronic renal failure; Hematological disorders; Hemohilia; Thalassaemia.

Unless the ailment which is suffered for undergoing the surgery and for which the surgery was undergone falls within these classifications, the deduction under Section 80 DDB cannot be availed of by you. Apparently, the said ailment will not fall within the classifications in the said rule and stated above and therefore no deduction can be claimed by you.

Source: T. Banusekar. Deduction under Section 80 DDB, The Hindu Business Line, Tax Talk’, Chennai, 25 November 2007.