deduction u/s 80dd

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DHAVAL JOSHI (Querist)
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16 February 2011 can a person, having his spouse cancer, claim deduction under section 80dd?

what is disability. can benefit of both section 80dd and 80ddb be availed.
In current case assessee is employee in PGVCL and getting full reimbursement from employer so section 80ddb having no benefit in current case,

but is cancer covered in rule 11dd to get deduction u/s 80dd? because infact dependent is not able to generate income, so can it be called disable as per principle if the section?

CA Ghanshyam Joshi

CA Ghanshyam Joshi (Expert)
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17 February 2011 Sec 80 DD -
11.2.6 Deduction in respect of maintenance including medical treatment of a
dependent disabled [Section 80DD]
(i) Section 80DD provides deduction to an assessee, who is a resident in India, being an
individual or Hindu undivided family. Any amount paid for the medical treatment (including
nursing), training and rehabilitation of a dependant, being a person with disability, or any
amount paid or deposited under a scheme framed in this behalf by the Life Insurance
Corporation or any other insurer or the Administrator or the Specified Company as referred to
in section 2(h) of the Unit Trust of India (Transfer of Undertaking and Repeal) Act, 2002, for
the maintenance of a dependant, being a person with disability, qualifies for deduction.
(ii) The benefit of deduction under this section is also available to assessees incurring
expenditure on maintenance including medical treatment of persons suffering from autism,
cerebral palsy and multiple disabilities.
(iii) The quantum of deduction is Rs.50,000 and in case of severe disability (i.e. person with
80% or more disability) the deduction shall be Rs.1,00,000.
(iv) The term ‘dependent’ has been defined to include in the case of an individual, the
spouse, children, parents, brothers and sisters of the individual and in the case of a Hindu
Undivided Family (HUF), a member thereof, who is wholly or mainly dependent on the
assessee and has not claimed any deduction under section 80U in the computation of his
income.
(v) For claiming the deduction, the assessee shall have to furnish a copy of the certificate
issued by the medical authority under the Persons with Disability (Equal Opportunities,
Protection of Rights and Full Participation) Act, 1995 along with the return of income under
section 139.
(vi) Where the condition of disability requires reassessment, a fresh certificate from the
medical authority shall have to be obtained after the expiry of the period mentioned in the
original certificate in order to continue to claim the deduction.

Spouse covered under dependent.
The disability is one which comes under the Persons with Disabilities (Equal
Opportunities, Protection of Rights and Full Participation) Act, 1995.

Sec 80 DDB-
11.2.7 Deduction in respect of medical treatment etc. [Section 80DDB]
(i) This section provides deduction to an assessee, who is resident in India, being an
individual and Hindu undivided family. Any amount actually paid for the medical treatment of
such disease or ailment as may be specified in the rules made in this behalf by the Board for
himself or a dependent, in case the assessee is an individual or for any member of a HUF, in
case the assessee is a HUF will qualify for deduction.
(ii) The amount of deduction under this section shall be equal to the amount actually paid or
Rs.40,000, whichever is less, in respect of that previous year in which such amount was
actually paid. In case the amount is paid in respect of a senior citizen, then the deduction
would be the amount actually paid or Rs.60,000, whichever is less.
(iii) The term ‘dependent’ includes in the case of an individual, the spouse, children, parents,
brothers and sisters of the individual and in the case of a Hindu undivided family (HUF), a
member of the HUF, who is wholly or mainly dependent on such individual or HUF for his
support and maintenance.
(iv) No such deduction shall be allowed unless the assessee furnishes with a return of
income, a certificate in such form, as may be prescribed, from a neurologist, an oncologist, a
urologist, a hematologist, an immunologist or such other specialist, as may be prescribed,
working in a Government hospital.
(v) The term “Government hospital” will also include approved hospitals for the treatment of
Government servants.
(vi) The deduction under this section shall be reduced by the amount received, if any, under
an insurance from an insurer, or reimbursed by an employer, for the medical treatment of the
assessee or the dependent.