I have been paid a relocation cash amount in the financial year 2015-2016 by my company for expenses incurred during relocating from Bangalore (where I was previously) to Mumbai. My company however does not ask for any receipts/bills to prove the expense. Hence the entire amount has been considered in my taxable income. I have incurred expenses expenses while shifting, however I have misplaced most of my receipts. Please inform me whether the relocation cash payment can be tax exempted now. If yes then how? Also please inform me exactly what kind of expenses can be exempted. For eg : Does the security deposit paid to landlord come under relocation expense?
01 August 2016
Difficult to establish for want of receipts. However, please see the writings in http://www.livemint.com/Money/t7voIHa8XAHnCOfi88EhIK/Relocation-allowance-exempt-to-the-extent-of-actual-expenses.html
CAclubindia
