Tax Benefits Available Only to Senior Citizens, List of 7 tax Benefits available to Senior Citizens, It is always said that the one who has done lot to the society should get the most of it. And so has the government brought in the very tax benefits and exemptions to the senior citizens or the super senior citizen. There are some of the benefits which you would like to take it if you have grand mother or father and finding for some tax planning. Now check more details about “Tax Benefits Available Only to Senior Citizens” from below…

Tax Benefits Available Only to Senior Citizens

Tax Benefits to Senior Citizens

Who are Senior Citizen ?

According to Income Tax Act, any Indian citizen, having age of 60 years or more during any point of time during the previous year would be regarded as Senior Citizen.

Who are Super Senior Citizen?

According to Income Tax Act, any Indian citizen, having age of 80 years or more during any point of time during the previous year would be regarded as Super Senior Citizen.

Tax Benefits to Senior / Super Senior Citizen :

1. Tax Slab Benefit The Fundamental benefit to this type of individual is the tax slab rates benefit which would allow more exemption in income in comparison with the normal people. The exemption for the normal individual is Rs. 2,50,000, while that for senior citizen is Rs. 3,00,000 and that for super senior citizen is Rs. 5,00,000 fetching more effective exemption of Rs 5,000 and Rs. 25,000 respectively.

2. Tax Exemption under Reverse Mortgage Scheme Many of you might me having the doubt that what would be Reverse Mortgage Scheme. It is basically the opposite of the EMIs. It is the time when the regular payment may be received by the citizen by mortgaging the house while keeping the ownership and possession of the house with themselves. The income received is fully exempt from the income tax.

3. Exemption from Payment of Advance Tax In the Union Budget of 2012, it was made exempt for the senior citizens to make advance tax if they are not having any income from business and profession. They would be liable for payment of self assessment tax, that also if it exceeds the basic exemption limit for them.


4. E-filing Return not mandatory Due to looking the age of the individual, income tax department has exempted the senior / super senior citizen from filing their returns through e-filing mode. They can file the return through the paper mode also. If the person is well equipped then, he can also go for the e-filing mode also. There is no restriction from filing through electronic mode.

5. More Deduction u/s 80DDB Normal deduction under this section is restricted to Rs. 40,000. But for the senior citizen would get a deduction of Rs. 60,000 while super citizen would get deduction of Rs. 80,000 if the expenses is incurred for the treatment of diseases mentioned in Rule 11DD (Check the Note).

6. Deduction u/s 80D The deduction of the expenses incurred for the medical insurance of the person has been increased for senior citizen from Rs. 20,000 to Rs. 30,000. The same deduction to the normal individual is Rs. 15,000. So this deduction would be available to the assessee at the right time when they actually aren’t able to pay tax.

7. Exemption from TDS u/s 194A Income tax department has given relief from tax deducted at source in the form of interest to the senior / super citizen. It is to be noted that the individual should not be having income above the basic exemption limit. They can claim exemption from this by submitting Form 15H to the department.

Note – Diseases specified under Rule 11DD are –

  1. Disability level of 40% or more in the below diseases
    1. Chorea
    2. Aphasia
    3. Ataxia
    4. Parkinsons
    5. Hemiballismus
    6. Dementia
    7. Motor Neuron
    8. Dystonia
  2. Chronic Renal Failure
  3. Malignant Cancer
  4. Haemophilia
  5. Thalassemia
  6. Immune Deficiency Diseases.

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