Dear Team,
We are paying LTA to one of our employees as part of his salary every month. He claims for a reimbursement for the travel he made to his hometown (to and fro).
My doubt is, as we are paying him every month as a part of his salary, is he eligible for the claim? Kindly provide me the inputs on the same.
Regards,
ACP
From India, Hyderabad
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We are paying LTA to one of our employees as part of his salary every month. He claims for a reimbursement for the travel he made to his hometown (to and fro).
My doubt is, as we are paying him every month as a part of his salary, is he eligible for the claim? Kindly provide me the inputs on the same.
Regards,
ACP
From India, Hyderabad
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Hi!!! As per my knowledge any employee cannot ask for or avail reimbursement if s/he travel for personal reason/benefit. regards vikram
From India, Pune
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14From India, Pune
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LTA on monthly basis??? never heard. know about LTA procedures, tax exemption benefits, etc.
From India, Lucknow
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From India, Lucknow
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Hi!
LTA on a monthly basis may be paid as a perquisite to the employee (a certain % of Basic). He can claim a tax rebate two times in a period of 4 years (block year for LTA fixed by the organization). His claim should be supported by proof of journey for him and his declared dependent family members. There is no provision for reimbursement or adjustment of LTA paid to him against the claimed journey expenditure. If he does not undertake any journey in any year, LTA paid on a monthly basis will be considered as taxable income.
Rakesh
From India
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LTA on a monthly basis may be paid as a perquisite to the employee (a certain % of Basic). He can claim a tax rebate two times in a period of 4 years (block year for LTA fixed by the organization). His claim should be supported by proof of journey for him and his declared dependent family members. There is no provision for reimbursement or adjustment of LTA paid to him against the claimed journey expenditure. If he does not undertake any journey in any year, LTA paid on a monthly basis will be considered as taxable income.
Rakesh
From India
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Dear All,
I personally feel that the concerned employee has the right to claim reimbursement of LTA at the entitled class of accommodation for self only once in a year, not every month, provided he does not accept a lump sum LTA grant in his salary for the entire calendar year. Such actual LTA is not taxable under the Income Tax Act. Any LTA over and above once in a calendar year for self only or once in the block of two calendar years for self and dependent family members would be taxable income.
From India, Pune
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I personally feel that the concerned employee has the right to claim reimbursement of LTA at the entitled class of accommodation for self only once in a year, not every month, provided he does not accept a lump sum LTA grant in his salary for the entire calendar year. Such actual LTA is not taxable under the Income Tax Act. Any LTA over and above once in a calendar year for self only or once in the block of two calendar years for self and dependent family members would be taxable income.
From India, Pune
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Tax Exemption (SUPERB).doc
LTA -Claim.pdf