Deductions80D126

Section 80D · Deduction for health insurance premium

Health cover that pays you back at tax time.

Self / family cap
₹25,000
Parents cap
₹25,000 (₹50,000 senior)
Health check-up
₹5,000 (within cap)
Regime
Old only

In plain English

Pay a mediclaim premium for yourself, your spouse, kids or parents — and the government lets you knock that amount off your taxable income. You get one bucket for your own family and a separate bucket for your parents, with bigger limits if they're senior citizens.

Numbers at a glance
MeaningNumber
Self / family cap₹25,000
Parents cap₹25,000 (₹50,000 senior)
Health check-up₹5,000 (within cap)

What you can claim under 80D

  • Health insurance — self, spouse, kidsUp to ₹25,000 per year
  • Health insurance — parentsAdditional ₹25,000 (₹50,000 if senior)
  • Preventive health check-upUp to ₹5,000 within the above caps
  • Medical expenditureFor uninsured very senior citizens — up to ceiling
  • Central Government health schemeContribution by self/family covered

What this section covers

Section 80D provides a deduction from gross total income for medical insurance premium paid for self, spouse, dependent children and parents. The cap is ₹25,000 per year for self/spouse/children and an additional ₹25,000 for parents (₹50,000 where the parent is a senior citizen). Within these limits, up to ₹5,000 can be claimed for preventive health check-up. For very senior citizens without insurance, actual medical expenditure up to the ceiling is allowed. Available only under the old regime.

The legal text

“In computing the total income of an assessee, being an individual or a Hindu undivided family, there shall be deducted such sum, as specified in sub-section (2) or sub-section (3), payment of which is made by any mode as specified in sub-section (2B), in the previous year out of his income chargeable to tax.”
Income-tax Act, 1961 — Section 80D(1)·Open the Act on incometaxindia.gov.in

Old Act vs New Act

AspectAct, 1961Act, 2025
Section80D126
TopicDeduction for health insurance premium
VerdictRenumbered — no material change
NotesSection 80D is restated as Section 126 under the Income-tax Act, 2025 with the same monetary ceilings and the same eligibility for senior-citizen enhancement and preventive health check-up.

Common confusion

The ₹25,000 self-family ceiling and the parents' ceiling are separate buckets — a taxpayer can claim both. Preventive health check-up of ₹5,000 is within the overall ceiling, not in addition to it.

Who should know this

Salaried taxpayersSenior citizensTax professionals

Related sections

Source & last updated

Based on the official Income-tax Act, 1961 and the published Income-tax Act, 2025 as available on the Income Tax Department website. Always verify against the published Act and consult a qualified professional.

Official Income Tax Department source ·Last checked:
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