Hi,
If an employee joined the organization in the middle of the year can we give that person travelling allowance exemption of 9600(800X12) and Medical allowance deduction of 15000(1250X12)??? And how many months Rent we need to consider for HRA calculation, can we take full year Rent paid for his HRA Calculation???
Please Help me in this
Thanks and Regards,
Biju
Dear Biju,
When any employee joins in between of the year then all the calculation will be according to the no of months he worked with the organisation whether it will travel allowance of Rs. 800 pm., medical reimbursement will be considered Rs. 15,000 if it is not paid as fixed amount of Rs. 1250 pm as these are for full year and rent will be considered fir no of months for which HRA is paid.
Thank You so much Shudhanshu
CAclubindia
