30 April 2011
Hi, If an employee leaves the Organization in Feb then is he eligible for exemption of Rs.15000 under medical reimbursement or (Rs.1250*11= Rs.13750)
And conveyance will be exempted for Rs.(800*11=8800) or it depends upon no of days worked in the last month.
30 April 2011
The exemption Rs.15000/- for medical reimbursement given under u/s 17(2) of the IT Act is for the whole year. It need not be worked out on monthly / day basis. Hence the total amount is eligible for exemption.
For the conveyance the exemption given is Rs.800/- p.m. It need not be worked out on daily basis.
CAclubindia
