If Flexi Benefit applicable under new tax regime

Tax queries 3834 views 8 replies

1. If an employee opts for new income tax regime, is Flexi Benefit (Broadband, Food Coupon,etc) still applicable OR does it make sense under old regime only?

2. Can somebody please share me a link where I can find the deductions or exemptions applicable for new income tax rules? I have searched online and could only find articles on differences, what is better, etc

3. My friend is a disabled person. He used to not pay professional tax, get twice the Conveyance allowance and get exemption under 80U. I understnad that under new tax regime 80U is not applicable, but can he still get benefit of no professional tax and twice conveyance allowance?

4. Can he claim 80U also if he opts for new tax regime?

Kindly help

Replies (8)

1. Under the new income tax regime, employees cannot claim tax exemption on meal coupons given by way of paid vouchers. Reimbursement for broadband charges would not be counted as allowance,

2.  Income tax regime - Income Tax | Tax queries (caclubindia.com)

3. Conveyance allowance to disable person is allowed but no deduction u/s. 80U eligible.

4. No.

Thank you Sir for the reply.

1. Employers are giving meal amount as Digital Wallet like Niyo, Zaggle. Do you mean to say that, under new Tax regime, opting for meal amount through Digital WAllet does not provide tax exemption?

 

Yes that is correct, but gift amount upto Rs. 5,000/- is tax free from employer, in either regime.

Thank you Sir for your reply

Is professional tax exempted for my disabled friend in new tax regime? In old tax regime, it was zero 

NO. Not exempted under new tax regime.

This was helpful, however i would like to clarify what does the below statement really mean. What all components are included under this : Employers providing allowances to employees for performing official duties are exempt from being taxed.

This is a bit grey as we dont know what all allowances can be considered as paid for official duties. Can we consider uniform allowance, telephone allowance, car allowance, driver allowance, etc.,?
Read more at: https://www.caclubindia.com/forum/details.asp?mod_id=596632

The allowances are specifically categories as exempt u/s. 10(14) of IT act,

Other then those are taxable.

Refer ::  https://www.bankbazaar.com/tax/special-allowance-under-section-10-for-salaried-employees.html

for a salary of 18lakh per annum,

1.is flexi pay allowed?

2. how to save tax?

have absolutely no idea of taxation. please advise like you are advising to a novice


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