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Tax calculation

This query is : Resolved 

02 March 2013 Sir

My Query of some tax calculation FY 2012-2013:

My Basic : 22000/- pm
HRA : 11000/-pm
Conveyance: 5000/-pm
Executiv Allow : 6000/-

Company has given CAB Ficilty on our Charging Facility RS 2400/-

But The Company has not given me 800/- conveyance exeption.
Even full conveyance Rs 5000/- is added taxable.

is it Correct?.

Regards

MR Ankit


02 March 2013 Hi

You are eligible for Standard deduction of Rs. 800 under Income Tax act.

Thanks!!

02 March 2013 Also what is arrangement of CAB recovery can u explain how billing & payment is done for CAB services.


02 March 2013 Sir
Company is paying Cab Bill and charging us @ 2400/-pm.

Hewitt associate said that not entitle for Exeption of Rs 800/- But when asked to take total conveyance Less Recoverd = totat treat taxable. but they are not agree.

02 March 2013 I request your good self to grant me the exemption u/s 10(14) for conveyance allowance and oblige. The TDS may be deducted at your end, after giving due regard to the same.

The reason of CAB deduction in REDUNDANT and will not stand with any wise person. When CAB charges deducted from my salary, it amount that we are paying the charges from my Salary, only the arrangement is that employers is deducting the same.

03 March 2013 Exemption in respect of conveyance allowance cannot be allowed only when free conveyance is provided by the employer.

In your case they are charging 2400, so you should get standard deduction of 800 per month.

You should protest and ask them to provide the basis on which they are not allowing the exemption.

04 March 2013 Sir
They are saying that we are prvide the Cab ficility on resonable rate so you are not elegible for Conveyance examtion . and they merjed in exetive allowanve. is it correct

04 March 2013 Even they are providing Cab at reasonable rate, you are entitled for standard deduction of Rs.800 per month.

But if they have merged your entire conveyance allowance of 5000 to Ex-Allowance and not showing any amount in your tax computation as conv allowance, you are not etnitled for exemption.


04 March 2013 Rs. 800 exemption is allowed irrespective of facility which co. provides!!



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