Tax planning on Conveyance Allowance


Conveyance Allowance

Rs 800/- per month is allowed as Conveyance Allowance ie Rs 9,600/- pa. No Bills are required for this amount.

( In Union Budget 2015 , limit of Rs 800 pm is increased to Rs 1600 pm )


All Employees who are not coming through company provided transport, can avail of this benefit.

Queries on Conveyance Allowance:


1. My Company, provides Cabs for employees and I have been using this facility . Can I Claim benefit of Rs 800/- per month as well? Jaishree , Hyderabad
A ) You can not take both the benefit.

2. I am getting petrol reimbursement from the company, will i get benefit of Rs 800 /- p m as well ? Shefali , Gurgaon
A ) No, You can claim any one of these.

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