Clause 69 - Deduction in respect of health insurance premia - Direct Taxes Code Bill, 2009

Deduction in respect of health insurance premia 69. (1) A person, being an individual or a Hindu undivided family, shall be allowed a deduction in respect of any sum actually paid during the financial year to effect, or to keep in force, an insurance on the health of any specified person. (2) The amount of deduction under sub-section (1) shall not exceed in the aggregate - (a) twenty thousand rupees, if the amount is paid in respect of a specified person, who is a senior citizen; and (b) fifteen thousand rupees, in any other case. (3) A person, being an individual, shall be allowed a further deduction in respect of any sum actually paid during the financial year to effect, or to keep in force, an insurance on the health of any of his parents. (4) The amount of deduction under sub-section (3) shall not exceed in the aggregate - (a) twenty thousand rupees, if the amount is paid in respect of any of the parents, who is a senior citizen; and (b) fifteen thousand rupees, in any other case. (5) The insurance referred to in this section shall be in accordance with a health insurance scheme framed in this behalf by any insurer and approved by the Insurance Regulatory and Development Authority. (6) For the purposes of this section, "specified person" means,- (a) the individual; (b) the spouse; (c) any dependant child of the individual; and (d) any member of the Hindu undivided family.