Analysis of the necessity of disabled people tax exemption in Iran

One of the most important economic roles in any system is a support for low-income and fair distribution of income. More equitable distribution tools of income can be tax exemptions that are mainly performed to correct on income distribution and poverty reduction. In developed countries, individual income tax exemption has a more comprehensive and attention. One of these tax exemptions is related to people with disabilities. Our study shows that in most capitalist countries disabled income or their heads is tax exemptions or deductions targeted. But in Iran, support for disabled mainly in the form of a fraction of the cost of treatment and care of their taxable income. Supporting the disabled community with the goal of promoting health and empowering them is one of the main topics of general policies of the health system. In this research we show, if the taxable income of disabled people or their heads in addition to medical expenses, accepted as a tax exemption or increase income tax exemption ceiling, could be beneficial in reduction of income inequality that is one of the objectives of tax policy.