leave travel allowance

Leave Travel Allowance or Concession or Assistance is exempt either in full or up to a certain limit and the balance, if any, shall be taxable.

The exemption shall be limited to fare for going anywhere in India along with family twice in a block of four years.
Family includes spouse, children and dependent brother/sister/parents. However, family doesn’t include more than 2 children of an Individual born on or after 01-10-1998

Exemption limit where journey is performed by Air

Air fare of economy class in the National Carrier by the shortest route or the amount spent, whichever is less

Exemption limit where journey is performed by Rail

Air-conditioned first class rail fare by the shortest route or the amount spent, whichever is less

Exemption limit if places of origin of journey and destination are connected by rail but the journey is performed by any other mode of transport

Air-conditioned first class rail fare by the shortest route or the amount spent, whichever is less

Exemption limit where the places of origin of journey and destination are not connected by rail

Where a recognized public transport system exists	First Class or deluxe class fare by the shortest route or the amount spent, whichever is less
Where no recognized public transport system exists	Air conditioned first class rail fare by shortest route or the amount spent, whichever is less

Taxable only in case of Specified Employees:

The following employees are deemed as specified employees:

A director-employee
An employee who has substantial interest (i.e. beneficial owner of equity shares carrying 20% or more voting power) in the employer-company
An employee whose monetary income under the salary exceeds Rs. 50,000 (Monetary Income means Income chargeable under the salary but excluding perquisite value of all non-monetary perquisites)