What is the taxability of Conveyance allowance?

Conveyance allowance exemption limits taxable salary: only the lesser of amount received or amount actually spent is exempt.

Conveyance allowance is exempt to the extent of the lesser of the amount received and the amount actually spent on conveyance; any excess of the allowance over actual expenditure is taxable as salary, while parity or higher expenditure renders the allowance fully exempt under the statutory exemption limit.