Section 80DD Deduction for Disabled Dependant: Limits, Eligibility and Rules
Section 80DD provides a fixed income-tax deduction to an eligible resident individual or Hindu undivided family (HUF) supporting a dependant with disability. The deduction covers qualifying medical treatment, nursing, training and rehabilitation expenditure or contributions to an approved maintenance scheme. The older figures of Rs. 50,000 and Rs. 1,00,000 are outdated.
Current law: Section 80DD and Section 127
For financial year 2025-26 (assessment year 2026-27), the provision is Section 80DD of the Income-tax Act, 1961, in Chapter VI-A. From tax year 2026-27, the corresponding provision is Section 127 of the Income-tax Act, 2025. Both provide the same core deduction amounts. The newer law reorganises the section numbers and includes updated provisions concerning approved maintenance schemes.
See the official Income-tax Act, 2025, as amended by the Finance Act, 2026, for the detailed text of Section 127 and its conditions.
Deduction limits and disability levels
| Category | Flat deduction | Meaning |
|---|---|---|
| Person with disability | Rs. 75,000 | Qualifying certified disability, generally 40% or more |
| Person with severe disability | Rs. 1,25,000 | Generally 80% or more disability, or another qualifying severe disability under the applicable statutory definition |
The applicable amount is fixed where statutory conditions are met. For example, a qualifying expenditure of Rs. 30,000 can still support the Rs. 75,000 deduction. The deduction is not Rs. 75,000 plus Rs. 1,25,000; only the applicable category is claimed for a dependant.
Who can claim Section 80DD?
A resident individual or resident HUF may qualify. For an individual, a dependant can be a spouse, child, parent, brother or sister who is wholly or mainly dependent on the taxpayer for support and maintenance. For an HUF, the dependant must be a qualifying member of the HUF.
The dependant must not have claimed the separate deduction under Section 80U for the relevant year. Section 80U applies to the taxpayer's own disability, while Section 80DD concerns support for an eligible dependant.
Qualifying expenditure and approved schemes
Medical treatment, training and rehabilitation
Section 80DD(1)(a) covers expenditure on medical treatment, including nursing, training and rehabilitation of the qualifying dependant. Keep supporting invoices and payment records even though the deduction is a fixed amount.
Insurance and maintenance arrangements
Section 80DD(1)(b) also covers payments or deposits under an approved scheme of LIC or another eligible insurer, Administrator or specified company, subject to the statutory conditions. The scheme must provide an annuity or lump-sum benefit for the dependant and must include an appropriate nomination, which may be in favour of the dependant, another person or a trust for the dependant's benefit.
Under the amended provisions, qualifying scheme benefits may also become payable when the subscribing individual or HUF member attains age 60 or more and discontinues payments or deposits, as specified by law. Where a dependant dies before the subscriber, recapture of amounts received may apply; the statutory exception for qualifying lifetime payments must also be considered.
Disability certificate and Form 10-IA
A valid certificate from the prescribed medical authority is required. Form 10-IA must be filed electronically where applicable, and relevant acknowledgement and disability details must be included in the return. The Income Tax Department's ITR-4 guidance explains the requirement to file Form 10-IA before submitting the return.
For assessment year 2026-27, the department also lists details such as the nature and type of disability, relationship of the dependant, identification information, and the Form 10-IA acknowledgement where relevant. If a certificate requires reassessment and expires, obtain a renewed certificate in accordance with the applicable rules.
Old tax regime versus new tax regime
Section 80DD is a Chapter VI-A deduction generally not available under the default new tax regime governed by Section 115BAC of the 1961 Act. Eligible taxpayers must opt for the old regime in the manner and within the applicable timelines to claim it. Compare overall tax liability under both regimes rather than selecting a regime solely for this deduction.
Example of Section 80DD tax deduction
A resident taxpayer spends Rs. 48,000 on eligible treatment and rehabilitation of a qualifying dependent parent with a certified disability of 50%. Subject to the other conditions and use of the old tax regime, the taxpayer may claim Rs. 75,000. If the dependant instead qualifies as a person with severe disability, the applicable flat deduction is Rs. 1,25,000.
Related deductions and distinctions
- Section 80D covers specified health insurance and related expenses under separate conditions.
- Section 80DDB concerns treatment of prescribed diseases and ailments, with its own eligibility rules.
- Section 80U provides a fixed deduction for an eligible resident individual with a disability.
Frequently asked questions
Is Section 80DD limited to actual medical bills?
No. It is a fixed deduction of Rs. 75,000 or Rs. 1,25,000, provided the qualifying expenditure or approved-scheme conditions are met.
Can the same dependant claim Section 80U?
No. A dependant for whom Section 80DD is claimed must not claim Section 80U for the relevant year.
Can a non-resident individual claim Section 80DD?
No. The deduction is available to eligible resident individuals and resident HUFs.
Is the deduction available under the new tax regime?
Generally no. The old tax regime must be selected where required to claim Section 80DD.
Official references
- Income Tax Department: Section 80DD, Income-tax Act, 1961
- Income-tax Act, 2025 (as amended): Section 127
- Income Tax Department: Chapter VI-A deductions
- Income Tax Department: ITR-4 FAQs and Form 10-IA
Updated 10 October 2026. This article is general information; confirm the applicable tax year, medical certification and return-filing rules before claiming a deduction.