02 October 2012
Dear Sir , For claiming deduction u/s 80DD is it necessary to submit medical bills to the company where claimanent is working , also ounus of proving that the amount is used for the medical purpose is on employer or employee ? Is there any case law , pl quote. Different companies have their own different rules regarding this , is it valid.
02 October 2012
Can employer frame it own rules regarding submission of bills , say bills of current & last month are only valid evenif Medical Reimbusement Allowance is pending for whole year , is there any rule in Income tax
02 October 2012
Mansi, please try to understand that the employer is in the fiduciary role while it makes the TDS. So the practice of asking for the documents may differ from company to company. Ultimately the aim is to grant the deduction under chapter VI-A. Please do not go by the words, try to go by practice. There is always a difference between law and practice.
03 October 2012
Yes Mansi, the employer can very well say that only the bills of last two months are acceptable even though the employee has credit in his med allowance. Have seen this practice myself. It's applied to avoid employees submitting the bills of the entire year at the last moment.