Tax treatment of employment bond money in respec of employee

Arjun Kothari (Accountant) (24 Points)

05 May 2013  

Hello everyone,

I paid Rs. 1 lac to my employer last November towards discharge of an employment bond. I want to know the tax treatment of this money. Can I deduct it from my salary while calculating the taxable income? Or is there any other way in which I can claim benefit of having paid this amount and reduce my payable tax?