News & Media 24th Jan 2025

Income tax in Budget 2025: Why section 80D limit for health insurance premium must be raised and allowed in New Tax Regime

Authors

Rahul Charkha Partner | Pune

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One of the long-standing demands of the general public is an increase in section 80D tax deduction for health insurance premium paid, under the old tax regime. However, section 80D of the Income Tax Act, 1961 which allows a tax deduction up to a specified limit for medical insurance premium has remained unchanged for many years. For general citizens below the age of 60 years, the limit for 80D deduction was raised from Rs 15,000 to Rs 25,000 in budget 2015 and it has not changed since then. For senior citizens the deduction limit was raised from Rs 30,000 to Rs 50,000 in the budget 2018.

Neelanjit Das from ET Wealth writes on this issue, “Income tax in Budget 2025: Why section 80D limit for health insurance premium must be raised and allowed in New Tax Regime” with insights from Rahul Charkha.

Tune into the story here

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