Medical Allowance

[kishorsingh rajpoot]

Dear sir,

How many amount of tax free of medical allowance if my company paid mothly Medical Allowance of Rs. 1000/-.

Please give me breife detail of medical allowanaces.

Thanks and Regards

Kishor Singh Rajpoot

AI Summary

Clarification on Tax Exemption: Medical Allowance vs. Reimbursement; Rs. 15,000 Yearly Cap with Documentation Required. A query was raised regarding the tax exemption on a monthly medical allowance of Rs. 1000. A response clarified that the maximum exempted medical allowance is Rs. 15,000 per financial year, contingent upon actual expenditure. Another response distinguished between medical reimbursement, which is exempt when supported by bills, and medical allowance, which is not inherently exempt. The discussion emphasized that allowances require documentation for tax exemption, while regular allowances, like the monthly Rs. 1000, do not qualify as reimbursements.