Medical allowance
This query is : Resolved
12 February 2010
Hello All,
Medical allowance is exempted upto an extent of 15000/- but it is provided that only the rembursement is exempted.
so if an employee get Rs. 1500 p.m. towards medical allowance, the total goes to Rs. 18000/- and is he/she does not spent any amount on medical expences in the relevant year' then:
(A) is the total amount Rs. 18000/- taxable under the head salary, or
(B) is only Rs. 3000/- is taxable
Medical allowance is exempted upto an extent of 15000/- but it is provided that only the rembursement is exempted.
so if an employee get Rs. 1500 p.m. towards medical allowance, the total goes to Rs. 18000/- and is he/she does not spent any amount on medical expences in the relevant year' then:
(A) is the total amount Rs. 18000/- taxable under the head salary, or
(B) is only Rs. 3000/- is taxable
12 February 2010
Hello,
I want to clarify here that Medical Allowance is fully taxable whether any amount spent on medical treatment or not, whereas another side Medical reimbursement is exempt only upto Rs.15,000(However, if money reimburesed for govt. hospital or approved hospital by CIT or in employers own maintained hospital, then whole reimbursement amount will be exempt)
About your question, because you received MEDICAL ALLOWANCE which is fully taxable and not releted that you spent any amount or not, therefore whole amount, i.e., Rs. 18,000 will be TAXABLE in your hands.
Regards!!!
I want to clarify here that Medical Allowance is fully taxable whether any amount spent on medical treatment or not, whereas another side Medical reimbursement is exempt only upto Rs.15,000(However, if money reimburesed for govt. hospital or approved hospital by CIT or in employers own maintained hospital, then whole reimbursement amount will be exempt)
About your question, because you received MEDICAL ALLOWANCE which is fully taxable and not releted that you spent any amount or not, therefore whole amount, i.e., Rs. 18,000 will be TAXABLE in your hands.
Regards!!!
CA Prashant Gupta
(Expert)
12 February 2010
medical allowance is fully taxable.
in your case if you can provide medical bill to company on monthly basis for 1500/- or more then you can show it as medical reimbursement. But in your salary slip it should not be shown as medical allowance.
if you provide bill then you can claim medical reimbursement till 15000/- rese 3000 will be taxable.
in your case if you can provide medical bill to company on monthly basis for 1500/- or more then you can show it as medical reimbursement. But in your salary slip it should not be shown as medical allowance.
if you provide bill then you can claim medical reimbursement till 15000/- rese 3000 will be taxable.
CMA Ramesh Krishnan
(Expert)
12 February 2010
Medical allowance fully taxable there is no exemption
Medical reimbursement is exempted up to Rs.15000p.a based on the submission of bills
Medical reimbursement is exempted up to Rs.15000p.a based on the submission of bills
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
- Taxation of crypto futures in India Fy 2026- 2027
- Issuing of delivery challan by seller of goods
- EPF ECR NEW RULES Sep 17th 2026
- Transfer of Physical Stock Between Two Proprietorship Concerns
- Not ordinarily resident having partnership income in India and salary in USA is any form to filed be
- 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
