Dear Experts,
One of my client has lost 70% of listening capacity. Will he be eligible for deduction u/s 80U?
What benefits are available to disabled person under income tax act?
Which disabilities are eligible for the benefits under income tax act?
Pawan Mittal (CA Final) (702 Points)
19 July 2014Dear Experts,
One of my client has lost 70% of listening capacity. Will he be eligible for deduction u/s 80U?
What benefits are available to disabled person under income tax act?
Which disabilities are eligible for the benefits under income tax act?
CA. sanjeet Kumar Ojha
(Chartered Accountant)
(272 Points)
Replied 19 July 2014
Deduction under Section 80U is available for Resident Person.
Amount of Deduction
1) at least 40% of disability - Rs. 50000
2) Severe Disability - Rs. 100000
Legal Formalities:- certificate from medical authority constituted by either the Central or the State Government
Note:- 1) This deduction is available for assessee himself, not for dependent.
2) The above amount of expenditure is irrespective of actual Expenditure
Now Question arises about disabilities: -
Disabilities includes low vision, Leprosy-cured, Hearing impairment, Loco motor disability, Mental retardation, Mental illness.
Severe Disabilities means eighty per cent or more of one or more aforementioned disabilities.
You have mention hearing problem. Yes, This is eligible disabilities for Sec 80 U. You have mentioned 70% disabilities, so it is not severe disabilities.
Conclusion :- You can claim deduction of Rs 50000 under section 80U.
CAclubindia
