Senior Citizen Tax IndiaHealth insurance and medical deduction
Section 126 of the Income-tax Act, 2025 (read on 13 November 2026) allows up to ₹25,000 for a health insurance premium (including CGHS contributions and up to ₹5,000 of preventive check-up) for the assessee and family, and the same for parents; if the insured person is a senior citizen the ₹25,000 becomes ₹50,000 (126(8)). Each of the two groups is capped at ₹50,000 together with medical expenditure (126(4)). "Family" means the spouse and dependent children.
| Premium paid | Under 60 | 60 or more |
|---|---|---|
| ₹15,000 | ₹15,000 | ₹15,000 |
| ₹30,000 | ₹25,000 | ₹30,000 |
| ₹45,000 | ₹25,000 | ₹45,000 |
| ₹60,000 | ₹25,000 | ₹50,000 |
Specified diseases, section 128
The smaller of the amount paid and ₹40,000, or ₹1,00,000 where the patient is a senior citizen, after taking off insurance or employer reimbursement. A prescription from a specialist is required (128(2)).
Common questions
Can a senior citizen claim medical expenses without insurance?
Section 126(2)(c) and (d) allow medical expenditure up to ₹50,000, and 126(7) says that for a senior citizen it counts only if no health insurance premium has been paid for that person. This site applies it to senior citizens only.
What is the limit for specified diseases?
Section 128: the amount paid or ₹40,000, whichever is less, or ₹1,00,000 for a senior citizen, reduced by any insurance or employer reimbursement.
Source
- The Income-tax Act, 2025, as published in the Gazette of India Extraordinary: section 2(100) (senior citizen), 126 (health insurance and medical expenditure), 128 (specified diseases), 153 (interest on deposits), 393 (tax deducted at source, Table serial 5) and 402(39) (specified senior citizen).
Rules read on 13 November 2026 from the Income-tax Act, 2025. The Act may have been amended since it was enacted. This site is independent, not connected with the Income Tax Department or any bank, and gives arithmetic, not tax advice.