Exemption on medical reimbursement

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

18 June 2013 My income from salary/pension is Rs. 70,000/- whereas I have received medical reimbursement amounting Rs. 56000/-.
Since my income from salary do not exceed Rs.100,000/- What will be the exemption on medical reimbursement perquisits u/s 17(2)? All 56000/- or restricted to Rs. 15000/-only
I have income from other sources in the order of Rs. 300,000/-(outside basic limit).
I read in the "Information Booklet for salaried & pensioners" (sec 5.2)that all perquisits will be exempt from tax if income from salaty do not exceed Rs. 100,000?-
Please advise

Ganeshbabu K

Ganeshbabu K (Expert)
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18 June 2013 1)Exempt from income tax is restricted to 15000 as per section 17(2).

2)remaining will be part of taxable salary

3)however if you have only income from salary as it is not exceeded basic exemption limit there is no tax liability on you

Thanks & regards
Ganesh babu k

Querist : Anonymous

Querist : Anonymous (Querist)

18 June 2013 I am a retired senior citizen with gross income of around 300,000/- ( Pension/salary 70,000 and income from other sources 230000) Income from salary & pension do not exceed Rs. 100,000/- I have read in the "Information Booklet for salaried & pensioners" (section 5.2); that medical reimbursement (perquisits) is fully exempt from tax if income from Salary do not exceed Rs. 100,000/-
If I get medical reimbursement of 25000/- will it be fully exempt or limited to 15000/- only