Conveyance claim


This query is : Resolved 

Quick Summary
This discussion explores whether employees can claim deductions for petrol bills when receiving conveyance reimbursement from their employer. It clarifies that only a standard deduction of £50,000 is typically applicable. The conversation also touches upon the exemption of £1,600 per month (or £19,200 annually) under Section 10(14)(ii) and differentiates it from company-provided conveyance allowances or perquisites. It's noted that actual travel expenses for business promotion are usually reimbursed and not included in salary, and that the Finance Act 2018 introduced a standard deduction of £40,000 in place of transport and medical allowances.

21 March 2022 Dear Sir
I am an employee and my employer is giving conveyance reimbursement to me max up to Rs.5000.
Can I get the deduction for this on giving petrol bills to my Employer?

21 March 2022 Not possible only standard deduction of 50,000 can be claimed.

21 March 2022 Seetharaman Sir
Exemption of Rs 1600/- per month (Rs 19200/- ) under sec 10(14)(ii) can be claimed under which circumstances ?

Some companies are giving conveyance re imbursement / allowance as a perquisites and allowing deduction of Rs 19200 in addition to standard deduction of Rs 50000/-.

kindly help me to understand the difference of re imbursement in the question above and conveyance allowance /perquisites subject to deduction of Rs 1600/- per month.

Regards


21 March 2022 Reimbursement of actual traveling expenses of sales representative who is actually traveling for business promotion will not be included in his salary. It's actual expenses incurred and amount will vary from month to month.
Finance Act, 2018 introduced standard deduction of Rs. 40,000 in lieu of transport allowance of Rs. 1600 per month and also a medical allowance of Rs. 15,000.


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