Section 154
Section 154: deduction for a person with disability
Section 154 is the Income-tax Act, 2025's version of the deduction long known as "80U" - a flat deduction for a resident individual who is themselves certified as having a disability, as distinct from Section 127 which covers a taxpayer supporting a disabled dependant.
This explanation is AI-assisted and pending review by our CA/CS team. It is general information, not professional advice - always cross-check against the bare law text above or talk to our tax team for guidance specific to your situation.
What Section 154 allows
A resident individual certified by a medical authority, at any time during the tax year, as a person with disability or a person with severe disability, can deduct ₹75,000 or ₹1,25,000 respectively - regardless of actual expenditure incurred.
Conditions
- A copy of the medical authority's certificate must be furnished along with the return of income.
- If the certificate specifies that the disability needs reassessment after a stated period, the deduction is not available for any year after the certificate expires, unless a fresh certificate is obtained and filed.
- "Disability," "medical authority," "person with disability" and "person with severe disability" carry the same meanings given to them in Section 127.
Frequently asked questions
Is this the same as the deduction people call "80U"?
Yes - the same flat disability deduction for the individual themselves, now numbered Section 154 under the Income-tax Act, 2025.
What's the difference between Section 154 and Section 127?
Section 154 is for your own disability. Section 127 is for supporting a dependant (spouse, child, parent, sibling) who has a disability - they cannot both be claimed for the same person's disability.
Do I need to show actual expenses to claim this?
No - it's a fixed deduction (₹75,000 or ₹1,25,000 depending on severity) regardless of what was actually spent, as long as the medical certificate condition is met.
Related sections
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Check your Section 154 disability deduction with our tax teamLast updated 9 September 2026