Qruery regarding standard deduction

Hello Sir,

I have a query regarding the newly introduced Standard Deduction (Rs. 40000/-) for salaried Tax Payers. My Question this regard is that this SD is for all salaried employee whether they are getting transport allowance and medical reimbursement or not. For Example :

Situation A :

Mr. X is a salaried employee and his salary Structure is as followed :

Basic                                       20000

HRA                                         6000

Medical Allowance                   1000

Travelling Allowance                2000

Special Allowance                   1500

Transport Allowance                    Nil

Medical Reimbursement              Nil

Gross Salary                          30500

Situation B :

Mr. Y is a salaried employee and his salary Structure is as followed :

Basic                                       20000

HRA                                         6000

Medical Allowance                   1000

Travelling Allowance                2000

Special Allowance                   1500

Transport Allowance                   800

Medical Reimbursement          1250 

Gross Salary                          32550

Now  I would like to know that Can Mr. X & Mr. Y both claim SD (Rs. 40000/-) ?

Replies (5)

Yes, both can claim Rs. 40,000/- SD, but Mr. Y will loose transport allowance of  Rs. 9600/- along with Medical Reimbursement of Rs. 15000/- (so, net benefit of Rs.15400/-)

Thank you so much

 

Most Welcome...

Sir,I am not getting TA, MEDICAL ALLOWANCE, can I claim standard deduction 2018-19.

Yes, but from FY 2018-19...........

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