Deduction and exemption for police personnel

1. Medical allowance and conveyance allowance are not covered under the standard deduction.
2. Compensatory pay is fully taxable. It is treated as a part of the employee's salary and is subject to income tax as per the applicable tax slab.
3. Mobile allowance taxability depends on whether the mobile phone is provided by the employer or the employee. If the mobile phone is provided by the employer and the SIM card is in the name of the company, then the mobile allowance is exempt from tax. However, if the SIM card is in the name of the employee and the employer is reimbursing the mobile expenses, then it will be taxable as a perquisite. If the mobile phone is provided by the employee, then the mobile allowance is not applicable and cannot be claimed as an exemption.