WorkIndex/Section 126 Health Insurance Deduction
Info guide

Section 126 Health Insurance Deduction
Old 80D benefit under new Act numbering

Section 126 is the new Act reference for medical insurance-style deductions. AY 2026-27 returns continue with old Act references, so keep both section names clear in client communication.

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Last fact-checked: 2026-05-26
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Fact-check notes

Last fact-checked: 2026-05-26

Transition rule: AY 2026-27 covers FY 2025-26 and continues under the Income-tax Act, 1961. The Income-tax Act 2025 Tax Year terminology applies for income earned from 1 April 2026 onward.

This page is written from official portal guidance and the supplied Batch 11 brief. Any future-dated form, rule or portal workflow should be verified in the active utility before filing or advising a client.

Info guide

What this covers

Section 126 is the new Act reference for medical insurance-style deductions. AY 2026-27 returns continue with old Act references, so keep both section names clear in client communication.

  • Self, spouse and dependent children premium generally uses the lower limit for non-seniors.
  • Senior citizen premium and parent premium can increase the deduction ceiling.
  • Preventive health checkup is within the overall limit, not an extra unlimited deduction.
Use cases

Who this is for

  • Employee claiming family health premium.
  • Senior citizen taxpayer.
  • Taxpayer paying parents insurance.
  • CA preparing deduction schedule.
Records

Documents and data to verify

  • Premium receipt.
  • Policy certificate.
  • Age proof for senior citizen claim.
  • Preventive checkup receipt.
Care points

Common mistakes to avoid

  • Paying insurance premium in cash.
  • Treating health checkup as over-and-above the limit.
  • Claiming GST-free insurance changes without checking actual invoice.
  • Using new-regime filing without checking deduction eligibility.
Action

How to proceed

  • Confirm the applicable year, taxpayer type, state, registration status and portal form before acting.
  • Reconcile the official portal data with books, bank statements, certificates, invoices and notices.
  • Prepare a written computation, filing note, document checklist or response with assumptions clearly stated.
  • Download acknowledgements, challans, workings and evidence after filing or submission.
Questions people ask

FAQs

Can WorkIndex help with this?

Yes. Post the facts and documents; relevant experts can quote for filing, advisory, reconciliation, registration, appeal support or ongoing compliance.

Is the page a substitute for professional advice?

No. Use it to prepare. A professional should check the current portal utility, official source and records before filing or taking a tax position.

What should I mention while posting?

Mention the year, state, form, deadline, amount involved, documents available, portal status and whether you need filing, correction, opinion or representation.

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