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PCC TAX SALARIES

CA N.Dhivya Lakshmi (Chartered Accountant) (515 Points)

05 October 2009

Reg education allowance.. if cost of education is less than Rs.1000pm its fully exempt. If it exceeds Rs.1000pm is it fully taxable or Rs.1000 exempt???

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Ratan Deep Saxena (Asstt Manager (Accounts & Finance)) (2998 Points)
Replied 05 October 2009

Children education Allowance is exempted to the extent of Rs. 100P.M. per children up to a maximum of 2 children.

regards...............

ratan

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CA Manasa (CA) (1479 Points)
Replied 05 October 2009

In my view the provison says Rs 1000 is exempt and the rest of amount would be taxable.

The Harshit Aggarwal (B.Com(H) ,CS Final) (5278 Points)
Replied 05 October 2009

Originally posted by :Ratan Deep Saxena
"	Children education Allowance is exempted to the extent of Rs. 100P.M. per children up to a maximum of 2 children. regards............... ratan	"

Suppose he is allowing Rs.80pm for each of 2 child then it is fully exempted.......and if the amt is Rs.150 pm for each of 2 child then 50*2*12 will be taxable.

CA Manasa (CA) (1479 Points)
Replied 05 October 2009

Divya First of all are you asking about Valuation of Perquisite in respect of Education facilities u/s 17 or about children allowance u/s 10

(Guest)

Children edu. Allow. is exempted to the extent of Rs. 100P.M. per children up to a maximum of 2 children.and more than Rs 100 is taxable

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CA N.Dhivya Lakshmi (Chartered Accountant) (515 Points)
Replied 05 October 2009

okay..tanq frnds..

CA NIKHIL GUPTA (CA, CS, B.COM (HONS.)) (126 Points)
Replied 06 October 2009

All the above said abt C.E.A. is true bt i think she is asking abt perquisite- FREE EDUCATION U/S 17(2)(iii)/3(5) which says exemption shall be allowed to children irrespective of the no. of children upto Rs. 1000 p.m. if the employer has provided so.