The central government may make arrangements to promote health infrastructure in small towns and rural areas in the next financial year. According to information provided to Hindustan through sources, the government can bring a provision of tax exemption on hospitals below 100 beds in the budget .
For this, benefits are also being given to companies that increase the presence of hospitals in rural areas. In the meetings held during the budget, it has been discussed that hospitals with 50 beds in Tier 2, Tier 3 and Tier 4 should be included in the tax exemption.
At the same time, tax rebates can be arranged for investment and capacity expansion in 25 bedded hospitals in rural areas. The Income Tax Act provides for 100% rebate on capacity expansion in certain types of businesses, but at present, this benefit is available only to hospitals with 100 beds.
The government’s focus is on increasing the delivery of health services to every citizen through the mission Ayushman Bharat. In such a situation, investment in this area is expected to increase due to tax exemption.
The demand for tax exemption on investment
as well as health related investment is also being considered to give the benefit of tax exemption. The industry chamber Ficci has also suggested to the government that a Healthcare Saving Fund should be set up on the lines of the Provident Fund Scheme to promote health services in the country. And there should also be an option of tax exemption.
So that in times of need, people can get their money better in health related problems and their savings should also be encouraged. At the same time, FICCI has also suggested to the government that the limit of tax exemption given on purchasing a policy related to health insurance should also be increased from the current 25 to 50 thousand. The government is also considering these.