Amendment of section 80DDB.
26. In section 80DDB of the Income-tax Act, in the Explanation, in clause (iv), for the words “sixty-five years”, the words “sixty years” shall be substituted with effect from the 1st day of April, 2013.
Notes on Clauses:
Clause 26 of the Bill seeks to amend section 80DDB of the Income-tax Act relating to deduction in respect of medical treatment, etc.
The existing provisions of the aforesaid section 80DDB provide for a deduction up to forty thousand rupees for medical treatment of a specified disease or ailment in case of an individual or his dependant. In case where the amount actually paid is in respect of any person who is a senior citizen, the deduction is allowed up to sixty thousand rupees in place of forty thousand rupees.
Clause (iv) of the Explanation to the aforesaid section provides that a senior citizen means an individual resident in India who is of the age of sixty five years or more at any time during the relevant previous year.
It is proposed to amend the aforesaid Explanation so as to reduce the age from sixty-five years to sixty years for qualifying as a senior citizen.
This amendment will take effect from 1st April, 2013 and will, accordingly, apply in relation to the assessment year 2013-2014 and subsequent assessment years.
