Medical Reimbursement

if any sum is paid by the employer for expenditure actually incurred by the employee for medical treatment in an unapproved hospital and it exceeds Rs. 15,000 during the year, such sum is "salary" as defined in clause (1) of section 17 of the Income-tax Act

 Thanks Praveen

Dear all

my query is whether the benefit of medical reimbursement under the income tax act is calculated on an annual or monthly basis especially when computing income for tds on salaries.

i am totally agree with praveen kumar .

with regards,

C.A.NISHIT DOSHI

Dear Mr .Mishra

It is reimbursement hence paid whenever the empoyee produces the bills for payment, or if it is paid as allowance and is not more than 15000/- p.a. it is exempted from tax, if the annual amount is more than 15000/- shall be counted as his salary income and calculated as the othr parts of salary-

the benefit of medical reimbursement under the income tax act is calculated on an annual basis

Yes, Mr. Radheyshyam & Mr. Pal both are right

it is calculated on Annual basis.