Definition
Section 80DDB (Specified Diseases)
Section 80DDB allows a deduction for expenses incurred on the treatment of certain specified serious diseases.
Section 80DDB permits a deduction for actual expenditure on the medical treatment of specified diseases — such as certain cancers, chronic kidney failure, neurological conditions and others listed in the rules — for the taxpayer or a dependent.
The deduction is capped, with a higher limit for senior citizens, and is reduced by any amount reimbursed by insurance or an employer. You need a prescription from a specialist to claim it.
It is an old-regime benefit and complements health insurance by giving tax relief on out-of-pocket costs for grave illnesses, distinct from the disability deductions under 80DD and 80U.
Related terms
- Critical Illness CoverCritical illness cover pays a lump sum on first diagnosis of a listed serious illness such as cancer, heart attack or stroke, regardless of treatment cost.
- Section 80DD and 80U (Disability Deductions)Sections 80DD and 80U provide tax deductions for the maintenance and medical care of a person with disability.
- Section 80DSection 80D of the Income-tax Act allows a deduction for health insurance premiums paid for oneself, family and parents, subject to limits.
Plain-English explainer from The Dispatch Investors Encyclopedia. General information, not financial advice.