Exemption for Books and Periodicals

This query is : Resolved

Vivek Vaish (Querist)
Follow

22 January 2020 Hi Experts.

An employee is getting a monthly allowance for Book & Periodicals of Rs. 1,000/- so yearly Rs. 12,000/-

In the month of January he purchases Books related to business of the company for an amount of Rs. 5,000/- and submit the bills to the Company.

How much exemption he will get Rs. 1,000/- (January allowance) or Rs. 5,000/- (Actual Expenses during the year)

I.e. the exemption to be calculated monthly for each month or can be considered yearly basis.

Akash Monwani

Akash Monwani (Expert)
Follow

23 January 2020 Exemption for Book & Periodical Allowances will be calculated on Annual Basis. The Exemption allowed is lower of Allowances Received or Amount of Expenses Incurred .

In above mentioned case the yearly allowance Received is Rs 12,000 and actual Expenditure incurred is Rs 5000 Hence Rs 5,000 will be exempt and Rs 7,000 will be taxable.

Message likes : 1 times

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

Similar Resolved Queries

Unanswered Queries

Popular
Recent

Trending Online Classes

Direct Tax Laws & International Taxation May 26,Sept 26 & Jan 27

CA Arvind Tuli

Enroll Now
Audit Fast Track Recorded Batch For May 26,Sept 26 & Jan 27

CA Aarti Lahoti

Enroll Now
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English

CA Bhanwar Borana & CA Shubham Keswani

Enroll Now

view all classess

Meet our CAclubindia PRO Members

Aayushi Chauhan

KAVITA CHAUHAN

chandradhass sathish

ATUL MAKWANA

Tia Blair

Subscribe Now

Exemption for Books and Periodicals

Similar Resolved Queries

Trending Online Classes

Meet our CAclubindia PRO Members

Quick Links

Browse by Category

Latest Job Openings

Accountant

GST CONSULTANCY

Manager- Finance and Compliance

Senior Executive

GST CONSULTANT

CA Final