What is the meaning of preventive health check up under 80d

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Rajan Singhal (Querist)
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26 February 2014 Dear Experts,
1. What is the meaning of 'preventive health check up' under 80D?
2. Does it cover normal blood test, urine test, sugar test, eye, x-rays etc.?
3. Does it cover any test done to keep a check on existing and/or chronic disease like sugar?
4. Do we have to purchase any special Preventive health checkup plan from renowned Path labs like Dr. LAL PATH LAB to get this benefit u/s 80D?

Personally, I think that every check-up is 'preventive' in nature and explicit use of this word in 80D is redundant. Only the pills and medication that we take for curing the disease or to keep a tab on existing illness (whether prescribed by a doctor or not) is curative in nature.

Please suggest!!

Nikhil Kaushik

Nikhil Kaushik (Expert)
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27 February 2014 answer to question 1 is covered under question 2. yes preventive health check ups include such tests like blood test, sugar test etc.

answer to 3 is the tests normally are covered for existing diseases too. Most of the insurance plans designed to cover preventive health check ups also provide for the same,

given that 80D is clear that deduction is for premium paid, you need to take insurance from general insurance companies. whether the test is done at Dr Lal Path Labs or any similar such clinic would normally depend on insurer.

well the idea of using the word preventive is to differentiate from pre-existing deduction for health insurance premiums.

Rajan Singhal

Rajan Singhal (Querist)
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27 February 2014 Nikhil, i think you have misunderstood my questions. I am aware of the benefit u/s 80D for Medical insurance premiums and what such Insurance covers and the Medical Insurance companies.

I am asking about the new amendment Inserted by the Finance Act, 2012, w.e.f. 1-4-2013. to 80D section of Income Tax act effective from Assessment year 2013-14 which states that:

A deduction of maximum Rs. 5,000 is proposed in respect of preventive health checkup of self, spouse and dependent children and parents of the assessee. However the deduction under this provision will be within the overall limit of 15000 (20000/- in case of senior citizens). see this link: - http://www.simpletaxindia.net/2012/03/deduction-on-preventive-health-check-up.html

here is the excerpts from the amended law: -

.........
(2) Where the assessee is an individual, the sum referred to in sub-section (1) shall be the aggregate of the following, namely:—

(a) the whole of the amount paid to effect or to keep in force an insurance on the health of the assessee or his family 96[or any contribution made to the Central Government Health Scheme] 96a[or such other scheme as may be notified by the Central Government in this behalf] 97[or any payment made on account of preventive health check-up of the assessee or his family]as does not exceed in the aggregate fifteen thousand rupees; and

(b) the whole of the amount paid to effect or to keep in force an insurance on the health of the parent or parents of the assessee 97[or any payment made on account of preventive health check-up of the parent or parents of the assessee]as does not exceed in the aggregate fifteen thousand rupees.

Explanation.—For the purposes of clause (a), "family" means the spouse and dependant children of the assessee.
(2A) Where the amounts referred to in clauses (a) and (b) of sub-section (2) are paid on account of preventive health check-up, the deduction for such amounts shall be allowed to the extent it does not exceed in the aggregate five thousand rupees
.........

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Nikhil Kaushik

Nikhil Kaushik (Expert)
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27 February 2014 I answered you on that only friend.