Budget 2019 Expectations: ‘Tax Benefits for Preventive Healthcare’

“Building infrastructure should also be the focus of the new budget,” says Amol Naikawadi, of Indus Health Plus.

Amol Naikawadi, joint managing director of Indus Health Plus, said the focus this year is on giving preventive measures its due credit along with building better infrastructure.

(Photo: Altered by The Quint)

“Only Swasth Bharat can be a Samriddha Bharat,” said then Finance Minister Arun Jaitley, presenting the Union Budget for 2018-2019 financial year.

And a year later, the Narendra Modi-led NDA government is all set to present its final Budget ahead of the Lok Sabha elections 2019 on 1 February. What are the expectations for the healthcare industry in this interim Budget?

According to Amol Naikawadi, joint managing director of Indus Health Plus, the focus this year is on giving preventive measures its due credit along with building better infrastructure.

“NCDs (non-communicable disease) are expected to comprise more than 75 percent of the country’s disease by 2025. Early diagnosis and timely treatment of NCDs through preventive healthcare can be helpful in reducing the burden on the OOP expenses and overall economic growth of the country.”

Amol Naikawadi, Joint Managing Director, Indus Health Plus

‘Increase Preventive Health Checkup Limit’

As a solution, Naikawadi suggests increasing the preventive health checkup limit under section 80D from Rs 5,000 to Rs 10,000, or creating a separate section for wellness of tax reimbursement.

“Personal genetic tests should also be included specifically in ‘Healthcare’ definition for GST under exemption notification act. Technologically advanced prevention tools like genetic testing can contribute in personalising the health and wellness aspects for an individual thereby reducing the curative costs.”

Amol Naikawadi, Joint Managing Director, Indus Health Plus

“Moreover, specific tax benefits for preventive healthcare should be given to corporates on per employee basis, so that they are motivated to invest in their employees’ health and wellbeing,” he said.

Better Infrastructure

The focus should also be on the much-needed infrastructural betterment in the healthcare sector, Naikawadi asserted.

“The government should also focus on building better infrastructure for the healthcare industry which is a long pending demand and should be given priority in the new budget.”

Amol Naikawadi, Joint Managing Director, Indus Health Plus