Our CTC policy has a provision to opt for reimbursement of Fuel & Maintenance of upto Rs. 1,00,000/- as a part of our compensation. the amount is re-imbursed on submission of actual bills. However, FBT of approx 4.6% is also debited to our CTC.
However, this reimbursement is not taxable. Can anyone guide me to the relevant part of Income Tax Act or Rule which exempt such re-imbursement from IT. In case it s covered as a part of "Valuation of Perquisite Rules", please upload a copy of the same on this site in the 'share your file' section.
CAclubindia
