Rachit (Analyst) (913 Points)
06 March 2013An employee has paid premium of his own Mediclaim policy. Certificate for deduction u/s. 80D has duly been received by him and has submitted the same to the company for 80D deduction.
His salary breakup consists of Medical re-imbusrsement to the tune of Rs.15,000/- (exempt u/s. 17(2))
Can such employee claim Exemption u/s. 17(2) (Re-imbursement of Medical expenses) in respect of the same above premium in addition to his claim for deduction u/s. 80D.
Santosh Mishra
(AM)
(1135 Points)
Replied 06 March 2013
No.
Exemption u/s 17 is only for expense incurred for madical treatment and not for taking medical insurance policy.
Rachit
(Analyst)
(913 Points)
Replied 06 March 2013
| Originally posted by : Santosh Mishra | ||
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No. Exemption u/s 17 is only for expense incurred for madical treatment and not for taking medical insurance policy. |
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Exemption u/s. 17(2) is available for reimbursement of medical insurance premium paid by the employee [Read proviso (iv) to sec.17(2)]
Rachit
(Analyst)
(913 Points)
Replied 06 March 2013
| Originally posted by : Akanksha Jain | ||
|
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yes exemption is available |
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But can he simultaneously claim deduction u/s. 80D for the same payment
Rachit
(Analyst)
(913 Points)
Replied 06 March 2013
What is the basis for denial of this simultaneous deduction u/s. 80D. Pl. quote relevant section/rule/case law in this respect
CA Suraj Lakhotia
(IndigoLearn)
(4898 Points)
Replied 06 March 2013
If reimbursement of Premium is received from the company, benefit of same would not be available u/s 80D.
I have not come across specific section on this matter. However, if premium is reimbursed by Employer, it would be as good as premium paid by employer and hence employee cannot claim deduction u/s 80D.
CAclubindia
