12 February 2022
One of my clients gets Rs. 123000/- as medical reimbursement i.e. one month of his basic pay in a year. Is it fully taxable under the head of perquisites? If it is not taxable - under what head it is not taxable. Kindly let me know your opinion. He is a salaried employee. Regards, TARAK KUMAR ROY, 150/1/1, Banerjee Para Road, P.O. Naihati-743165, west Bengal
13 February 2022
As such it is taxable now. But ITD has provided an income tax exemption on the amount received from the employer towards the COVID-19 treatment. The treatment expenses from FY 2019-20 and onwards are allowed for such tax relief.