SC urged Government to make suitable Amendments in a provision of the Income Tax Act, 1961 while deciding PIL concerning 'handicapped children'. Read Judgment.

January 22, 2019:

A bench comprising Justices A.K. Sikri, Ashok Bhushan and S. Abdul Nazeer of Hon'ble Supreme Court urged legislature to make necessary amendments in Section 80DD of the The Income Tax Act, 1961.

A writ petition under Article 32 of the Constitution of India was filed as a Public Interest Litigation in the interest of 'handicapped children' whose parents have taken Jeevan Aadhar Policy from the Life Insurance Corporation of India (LIC) for the livelihood of their children.

The petitioner/ parent in this case, is a differently abled person who is suffering from Cerebral Dysphagia and he is an income tax assessee.

Section 80DD of the Income Tax Act, 1961 provides for payment of annuity of lump sum amount for the benefit of a dependant, being a person with disability, in the event of the death of the individual or the member of the Hindu Undivided Family (HUF) in whose name subscription to the scheme stipulated in the said provision has been made.

The Apex court observed that there could be harsh cases where handicapped persons may need the payment on annuity or lumpsum basis even during the lifetime of their parents or guardians.

In such cases, it may be difficult for such a parent or guardian to take care of the medical needs of his or her disabled child. The court while disposing the Writ Petition held that the Legislature shall explore possibility to make necessary amendments in Section 80DD of the Act.

Read Judgment @ LatestLaws.com

RAVI AGRAWAL Vs UNION OF INDIA AND ANR- 03-01-2019(Downloadable PDF)

Ravi Agrawal vs Union of India and Anr- 03-01-2019 by Anonymous P3qxYB on Scribd