Taxability of allowances

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

30 October 2015 Dear Experts,
Company is providing conveyance allowances rs. 1500, telephone allowance rs. 1000, daily allowance 600 pm, however no supporting are given by employee in respect of these allowances, plz clarify my doubt. Weather all these three allowance will be taxable or not u/s 10(14) if No supporting us provided,

Thanx & Regard
Rahul mehta

Amol S Joglekar

Amol S Joglekar (Expert)
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30 October 2015 Conveyance allowance is exempt upto Rs. 800 per month. You need not insist for bills. A self declaration by the employee should be sufficient.

For telephone allowance and daily allowance, there is no any specific exemption under section 10(14)

Querist : Anonymous

Querist : Anonymous (Querist)

30 October 2015 Sir, plz confirm, should i deduct TDS on telephone allowance and on daily allowances or not

Amol S Joglekar

Amol S Joglekar (Expert)
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30 October 2015 deduct TDS for telephone allowance and daily allowance and even conveyance allowance in excess of 800

Querist : Anonymous

Querist : Anonymous (Querist)

30 October 2015 Sir, i think conveyance allowance exemption is now upto 1600, from 1/4/2015"

Amol S Joglekar

Amol S Joglekar (Expert)
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02 November 2015 yes, for assessment year 2016-17, it is increased to 1600/-