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/-) ?
CAclubindia
