Children Hostel allowance exemption under section 10(14)ii read with 2BB

[Subhash Kumar]

What is the basic conditions to avail the exemption of children hostel allowance.

Is stay in the hostel is compulsory to avail the exemptions.

Is any expenditure is required to avail the exemption of children hostel allowance.

I have received Children education & hostel allowance @ ₹ 400/- p.m. per child for three children. (Only one child is staying in the hostel) what amount is exempt for children hostel allowance?

AI Summary

Clarification on Children Hostel Allowance Exemption: Is Hostel Stay Mandatory Under Section 10(14)ii, Rule 2BB? A user inquired about the conditions for availing the children hostel allowance exemption under section 10(14)ii read with 2BB of the Income Tax Act. They questioned whether staying in a hostel is mandatory and if any expenditure is necessary to claim this exemption. The user mentioned receiving a children education and hostel allowance of 400 per month per child for three children, with only one child residing in a hostel, and sought clarification on the exempt amount for the hostel allowance.