Section 80U of Income Tax Act - Tax Deduction for Disabled Individuals

Introduction

Living with a disability often involves higher medical and living costs. From specialized therapy to assistive devices, the financial burden can be significant. Recognizing this, the Income Tax Act provides a specific deduction to offer relief to individuals suffering from physical or mental disabilities.

Section 80U is a deduction that allows a taxpayer with a disability to claim a flat amount from their taxable income. Unlike other sections where you need to show proof of expense (like medical bills or insurance premiums), Section 80U is a "standard deduction." You get the benefit simply based on your medical status, regardless of how much you actually spent.

In 2025, with the push towards the New Tax Regime, many taxpayers are confused about whether they can still claim this benefit. In this guide, we will clarify the deduction limits, the difference between "Disability" and "Severe Disability," and the mandatory certification required to claim this tax relief.

Table of Contents

1. What is Section 80U?
2. Who is Eligible to Claim?
3. Deduction Limits: General vs Severe Disability
4. List of Disabilities Covered (2025)
5. Documents Required: Form 10-IA
6. Difference Between Section 80U and 80DD
7. Is Section 80U Available in New Tax Regime?
8. How to Claim in ITR
9. Validity of Disability Certificate
10. FAQs

What is Section 80U?

Section 80U allows a Resident Individual who is certified by a medical authority to be a person with a disability to claim a flat deduction from their Gross Total Income.

The core objective is to provide financial assistance to disabled individuals to manage their livelihood and medical needs. Since it is a deduction from income, it directly reduces your tax liability.

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Who is Eligible to Claim?

To qualify for Section 80U, you must meet the following criteria:

1. Residency: You must be a Resident of India (NRIs cannot claim this).
2. Status: You must be an Individual (HUF cannot claim for a member under 80U; they use 80DD).
3. Certification: You must have a valid certificate from a recognized medical authority.
4. Disability %: You must suffer from at least 40% disability.

Deduction Limits: General vs Severe Disability

The deduction amount depends on the severity of the condition, not on your actual expenses.

1. Person with Disability (40% to 79%)

• Deduction: ₹75,000.
• Condition: You must have at least 40% disability but less than 80%.

2. Person with Severe Disability (80% or more)

• Deduction: ₹1,25,000.
• Condition: You must have 80% or more disability as certified by the doctor.

Example: If your annual income is ₹10 Lakhs and you have a severe disability (85%), your taxable income reduces to ₹8.75 Lakhs straightaway.

List of Disabilities Covered (2025)

The section covers disabilities defined under the "Persons with Disabilities Act, 1995" and the "National Trust Act, 1999."

• Blindness (Total loss of sight).
• Low Vision.
• Leprosy-cured (Cured but with physical deformity).
• Hearing Impairment.
• Locomotor Disability (Restriction in movement of limbs).
• Mental Retardation.
• Mental Illness.
• Autism.
• Cerebral Palsy.
• Multiple Disabilities.

Documents Required: Form 10-IA

You do not need to submit bills. The only proof required is the Disability Certificate.

Who issues it?

A Neurologist (MD), Civil Surgeon, or Chief Medical Officer (CMO) of a Government Hospital.

Form 10-IA:

For diseases like Autism and Cerebral Palsy, the certificate must be in Form 10-IA. For other physical disabilities, a standard certificate from the government hospital helps.

• Note: You do not need to attach this form to your ITR. You just need to keep it ready. If the Assessing Officer asks for proof during scrutiny, you must present it.

Difference Between Section 80U and 80DD

This is the most common confusion. Both sections deal with disability, but the claimant is different.

Feature

Section 80U

Section 80DD

Who Claims?

The Disabled Person himself/herself.

The Family Member (Dependent) of the disabled person.

Condition

The taxpayer is disabled.

Taxpayer supports a disabled dependent.

Limit

₹75k / ₹1.25 Lakh.

₹75k / ₹1.25 Lakh.

Overlap

If you claim 80U, your family cannot claim 80DD for you.

If family claims 80DD for you, you cannot claim 80U.

Scenario: Mr. A is disabled. He files his own return. He claims 80U. His father cannot claim 80DD for maintaining Mr. A. It is mutually exclusive.

Is Section 80U Available in the New Tax Regime?

No.

Section 80U is a Chapter VI-A deduction.

• Old Tax Regime: Available.
• New Tax Regime (Section 115BAC): Not Available.

In 2025, the New Tax Regime is the default. If you want to claim Section 80U, you must specifically opt for the Old Tax Regime while filing your return.

How to Claim in ITR

1. Select Regime: Choose Old Tax Regime.
2. Go to Deductions: Under the "Deductions" schedule.
3. Locate 80U: Select "Section 80U" from the dropdown.
4. Select Category: Choose "Self" (since 80U is for self).
5. Disability Type: Select "Disability" or "Severe Disability."
6. Amount: The system will auto-populate ₹75,000 or ₹1,25,000 based on your selection.

Validity of Disability Certificate

Disability certificates can be:

• Permanent: Valid for a lifetime.
• Temporary: Valid for a specific period (e.g., 5 years).

If your certificate expires in the financial year, you can still claim the deduction for that year. However, you must get it renewed for the subsequent year to continue claiming.