28 March 2008
it is true that conveyance allowance and LTC ARE DIFFERENT. UNDER INCOME TAX ACT SECTION 10(14) READ WITH RULE 2 BB CONVEYANCE ALLOWNCE GRANTED TO MEET EXP. IN PERFORMANCE OF DUTIES OF AN OFFICE IS EXEMPT TO THE EXTENT IT IS UTILISED FR THE PURPOSE SPECIFIED (TO MEET EXP. IN PERFORMANCE OF DUTIES OF AN OFFICE). AS AGAINST CON. ALLOWANCE , TRANSPORT ALLOWANCE GRANTED TO MEET EXP. IN COMMUTING BETWEEN OFFICE AND RESIDENCE IS EXEMPTED TO THE EXTENT OF RS. 800/- PER MONTH . FOR LEAVE TRAVEL CONCESSION-JOURNEY FOR GOING TO HOME TOWN AND BACK- UNDER SECTION 10 (5), EXEMPTION IS LIMITED TO THE AMOUNT ACTUALLY SPENT. ONLY TWO JOURNEYS IN A BLOCK OF 4 YEARS IS EXEMPT. R.V.RAO
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