To give incentive to diabled persons who are earning and maintaining themselves
Deductions under Section 80U is provided of 75000 for Normal Disability and Rs 125000 for Severe Disability w.e.f FY 2014-15 (AY 2015-16)
(Earlier,the limit was 50000 for Normal Disability and Rs 100000 for Severe Disability)
This deduction only for
Individual
Resident
who is suffering from Disability
Amount of Deduction
|
Type of Disability |
Amount of Deduction |
|
Normal disability |
50000 75000 |
|
Severe disability (80% or more disability) |
100000 125000 |
Examples
Q1 Suppose Mr A is a disabled person having Salary Income of 300000
Calculate,GTI,Deductions and NTI
View answer
| Particulars | Normal Disability | Severe Disability |
| Income from Salaries | 300000 | 300000 |
| (2500000+150000) | ||
| Gross Total Income | 300000 | 300000 |
| Less | ||
| Deductions u/s Chapter VI-A | ||
| 80U | 75000 | 125000 |
| Net Total Income | 225000 | 175000 |
Q2 Solve last question assuming Mr A is non resident and suffering from disability
View answer
80U benefit is not available to non residents
| Particulars | Normal Disability | Severe Disability |
| Income from Salaries | 300000 | 300000 |
| (2500000+150000) | ||
| Gross Total Income | 300000 | 300000 |
| Less | ||
| Deductions u/s Chapter VI-A | ||
| 80U | 0 | 0 |
| Net Total Income | 300000 | 300000 |
Type of Disability
- Disability should be certified by Medical Authority
- Medical Authority shall give certificate of disability to Individual who is disabled
-
Only specified diseases covered which are same as mentioned in Section 80DDB :-
- Blindness
- Low vision
- Leprosy cured
- Hearing impairment
- Locomotors disability
- Mental retardation
- Mental illness
- Autism
- Cerebal palsy
- Multiple Disability
(These diseases are covered in Persons with Disabilities (Equal Opportunities, Protection of Rights and Full Participation) Act, 1995)
Severe disability means 80% or more disability.