Are Physical Disable Person Required To Have Proof Of Expenditure For Claiming Deduction ?

I am a handicapped ie.,deaf & dumb from birth. Also my spouse is handicapped ie.,deaf & dumb from birth. We are permanently deaf & dumb 100%. I am working as central govt employee and my spouse working in Public sector undertakings. I want to know if I have the eligibility to claim deduction u/s 80U and 80DD? . N Prakash , Chennai

Income Tax Act under section 80U provides deduction to a physical disable person . Section 80DD provides deduction to a person who is spending on physical disable person. Hearing impairment is a disability defined for the purpose of section 80U .Therefore , in your case and your wife's case , both of you can get deduction u/s 80U of the I T Act.

Do you require medical expenditure proof?

No , under section 80U , there is no requirement of medical expenditure. This is a deduction to a physical disable without any other condition than that the person claiming should obtain a certificate of being physical disable person from a prescribed medical authority. That is all one require to claim the deduction .The said provision is as under :

80U. (1) In computing the total income of an individual, being a resident, who, at any time during the previous year, is certified by the medical authority to be a person with disability, there shall be allowed a deduction of a sum of fifty thousand rupees :

Provided that where such individual is a person with severe disability, the provisions of this sub-section shall have effect as if for the words fifty thousand rupees, the words seventy-five thousand rupees had been substituted.

(2) Every individual claiming a deduction under this section shall furnish a copy of the certificate issued by the medical authority in the form and manner, as may be prescribed, along with the return of income under section 139, in respect of the assessment year for which the deduction is claimed :

What is the meaning of physical disability?

The Explanation given under section 80U defines meaning of physical disability as under

(a) disability shall have the meaning assigned to it in clause (i) of section 2 of the Persons with Disabilities (Equal Opportunities, Protection of Rights and Full Participation) Act, 1995 (1 of 1996), and includes autism, cerebral palsy and multiple disabilities referred to in clauses (a), (c) and (h) of section 2 of the National Trust for Welfare of Persons with Autism, Cerebral Palsy, Mental Retardation and Multiple Disabilities Act, 1999 (44 of 1999);

A list of disability covered under section 2 of the Persons with Disabilities (Equal Opportunities, Protection of Rights and Full Participation) Act, 1995 (1 of 1996), is given here

What is severe disability?
Person suffering from severe disability gets higher deduction of Rs 75 ,000. Disability under I T Act means 40% disability whereas severe disability means when disability is certified to be 80% .

Is any form prescribed ?
Yes, the Form 10-IA is prescribed for persons suffering from autism, cerebral palsy or multiple disability and for others in the form prescribed vide notification No. 16-18/97-NI.1, dated the 1st June, 2001. You can get all about forms here

Who are the Certifying Medical Authorities?
As per Rule 11A of I T Rules, the certification must be done by any of the following

(i) a Neurologist having a degree of Doctor of Medicine (MD) in Neurology (in case of children, a Paediatric Neurologist having an equivalent degree); or

(ii) a Civil Surgeon or Chief Medical Officer in a Government hospital.

Therefore , answer to your specific question is that both of you can claim deduction u/s 80U upto Rs 75,000 each since both of you are suffering from 100% of disability.

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