Section 80D of the Indian Income Tax Act allows individuals to claim tax deductions for expenses incurred on health insurance premium payments for themselves, their spouse, dependent children, and parents. The maximum deduction limit under Section 80D is:
- INR 25,000 for individual/HUF taxpayer and their family.
- INR 50,000 for senior citizens (above 60 years).
- An additional INR 25,000 can be claimed for health insurance premiums paid for parents, making the total claimable amount INR 50,000 for individuals and INR 75,000 for senior citizens.
It is important to note that the deductions under Section 80D are over and above the overall limit of INR 1.5 Lakhs under Section 80C. It is recommended to consult a tax professional or financial advisor for specific guidance on how to maximize your tax benefits through deductions under Section 80D.