Direct Tax(Income from Salary)

Pre-hospitalization and post-hospitalization expenses are reimbursed by a Central PSU. My question is whether this is treated as a perquisite or an allowance. If so, what is the treatment of this during income tax return filing? Does any case study exist on this?

Replies (2)
Quick Summary
This discussion explores whether reimbursements for pre and post-hospitalisation expenses from a Central PSU are considered a perquisite or an allowance for income tax purposes. The general consensus suggests these are often treated as tax-free perquisites. It's advised to check Form 16 for definitive treatment and how to declare this during income tax return filing.

Irrelevant question , explicit information desirable.

Usually it comes under tax free persequites. Check form 16.

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