Children fee reimbursement

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neerja (Querist)
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31 July 2013 children fee reimbursement is against paid amount i.e. partial reimbursement against the actual expenditure done as per govt. rules. so shouldn't it be tax exempted. otherwise pl quote the section under which it is taxable.
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CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)
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31 July 2013 Tution Fees paid for children (Max Two Child) is allowed as deduction u/s 80C subject to overall limit of Rs 100000/-

neerja

neerja (Querist)
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31 July 2013 i am asking about the reimbursement received from employer against the payment of fees in the school. is reimbursement taxable or not? if yes under which section? section 80c is for deduction from salary against the fees, not the reimbursement.
thanks

CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)
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31 July 2013 Reimbursement is taxable in the hands of employee as perquisites.

neerja

neerja (Querist)
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31 July 2013 perquisites are not taxable if actually spent. moreover it is minimum reimbursement of rs 1250/- against a big amount actually paid. so how it can be taxable and under which section? why reimbursement against medical upto rs 15000/- is tax exempted? why uniform allowance, if spent is tax exempted unlimited? are they not reimbursements or perquisites? i am sure children fee reimbursement is only reimbursement and not perquisites and should not be taxable as there is no specific rule in income tax rules regarding this.

CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)
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31 July 2013 Perquisites taxable in the hands of the employee as a part of salary income:

Any sum paid by employer in respect of an obligation, which was actually payable by the assessee.

Please go through the link given below--

http://www.incometaxindia.gov.in/archive/incometax_valuation_perquisites.pdf

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