80DD Calculator - Tax Deduction for Disabled Dependents

Before you file taxes, check out your potential tax benefits under section 80DD. It takes a few minutes to compute the deductions you can avail of under this section.

Residents Individuals or HUFs can claim a deduction under section 80DD of the Income Tax Act for a dependent who is differently abled and relies on the individual (or HUF) for assistance and maintenance. The deduction is only applicable if the disability is at least 40% and this deduction is allowed for a dependent of the taxpayer and not the taxpayer himself.

The taxpayer has either incurred expenses on the medical treatment (including nursing), training, and rehabilitation of a differently-abled dependant, or has deposited money in a scheme offered by LIC or another insurer for the dependant's maintenance.

It is important to understand that deduction under Section 80DD is not allowed if the dependent relative claims a deduction under Section 80U for himself.

Note: A dependant, in the case of an individual taxpayer, refers to their spouse, children, parents, or siblings. For a Hindu Undivided Family (HUF), a dependant is any member of the HUF.

Section 80DD calculator helps you calculate the deduction you can avail under section 80DD if you have disabled dependents in your family. It will give you an accurate estimate of savings you can achieve under the given section.

The amount of deduction allowed is -

• Rs 75,000 where disability is more than 40% and less than 80%
• Rs 1,25,000 where disability is more than 80%

With the help of the Section 80DD calculator by tax2win, you can easily calculate your 80DD deduction and keep track of your finances.

• This is easy and safe to use.
• You won't need any additional tool to calculate your 80DD Deduction amount.
• It is free and can be accessed on any device of your choice.

The 80DD deduction calculator can be used by anyone eligible to claim the given deduction. You should be an individual or a part of HUF. This deduction does not apply to non-resident Indians (NRI).

• Medical certificates
• Insurance-premium receipt
• Form 10-IA
• Self-declaration certificate

The following disabilities are covered under Section 80DD of the Income Tax Act, 1961:

• Blindness
• Low vision
• Leprosy-cured
• Hearing impairment
• Loco motor disability
• Mental retardation
• Mental illness
• Cerebral palsy
• Autism

The person claiming the deduction is required to keep handy a copy of the certificate issued by the medical authority in the prescribed form, i.e., Form 10-IA, and in the prescribed manner. Since practically no document is required to be attached with ITR, it is advised to keep the document handy.

• Basic Information: You start by providing basic information such as your name, age, and residential status. You also specify the assessment year for which you are filing your tax return.
• Dependent Details: You provide details about the dependent for whom you are claiming a deduction under Section 80DD. This includes the name of the dependent, their relationship to you, and their disability status.
• Nature of Disability: You specify the nature of the disability, whether it is mild, moderate, severe, or profound. The deduction amount may vary depending on the severity of the disability.
• Medical Certificate: You may be required to upload a medical certificate issued by a medical authority as proof of the disability.
• Expense Details: You enter the actual expenses incurred for the medical treatment and rehabilitation of the disabled dependent during the financial year. These expenses can include medical bills, fees for a rehabilitation center, or other related costs.
• Deduction Calculation: Based on the information provided, the calculator calculates the deduction amount you are eligible to claim under Section 80DD. This amount is subject to a maximum limit specified by the Income Tax Act.
• Downloadable Report: The calculator generates a downloadable report that summarizes the details you entered and the deduction amount calculated. You can use this report when filing your income tax return.
• Filing Tax Return: You can then use this deduction amount when filing your income tax return, ensuring that you claim the eligible deduction under Section 80DD.