About medical allowance exemption
This query is : Resolved
Querist : Anonymous
Querist :
Anonymous
(Querist)
24 February 2015
My friend getting Medical Allowance of Rs 3500 Yearly is it taxable or not & under what section
CA R SEETHARAMAN
(Expert)
24 February 2015
Medical allowance is taxable.
Instead of fixed Medical Allowance, always opt for reimbursement of Medical Expenses. For claiming reimbursement, you will be required to submit valid medical bills to your Employer. Some companies, instead of taking actual physical medical bills from the employees, just take declaration to the effect that the employee has actually incurred medical expense for self or family. In this case the Employee is required to maintain the actual medical bills and may be required to present the same to the Income Tax authorities in case of any scrutiny of the Income Tax Return.
Please note that Medical Expense Reimbursement of Rs. 15,000 is over and above the deduction under under Section 80D of the Income Tax Act available for Medical / Health Insurance Premium - Mediclaim Premium.
Instead of fixed Medical Allowance, always opt for reimbursement of Medical Expenses. For claiming reimbursement, you will be required to submit valid medical bills to your Employer. Some companies, instead of taking actual physical medical bills from the employees, just take declaration to the effect that the employee has actually incurred medical expense for self or family. In this case the Employee is required to maintain the actual medical bills and may be required to present the same to the Income Tax authorities in case of any scrutiny of the Income Tax Return.
Please note that Medical Expense Reimbursement of Rs. 15,000 is over and above the deduction under under Section 80D of the Income Tax Act available for Medical / Health Insurance Premium - Mediclaim Premium.
Rupesh Jain
(Expert)
24 February 2015
its taxable if you have bill of exp. and submit to the employer then it is will be not taxable. upto rs. 15000/- per year.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Depreciation Chart Companies Act
- GST Audit whether Govt Companies are exempt?
- PTRC Show Cause Notice on Email
- Unable to File TDS Q2 Return – New TRACES Portal Error
- Capital Gail Exemption Certificate
- Accounting treatment of AMC alongwith the purchase of Laptop
- Transfer of Physical Stock Between Two Proprietorship Concerns
- Issuing of delivery challan by seller of goods
- Taxation of crypto futures in India Fy 2026- 2027
- EPF ECR NEW RULES Sep 17th 2026
- GST Treatment of Purchases with GST Paid where Outward Supplies of Manufactured CattleFeed Exempt
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
