Comments on: Demystifying LTA exemption

By: Reethu

Reethu — Thu, 24 Nov 2011 05:01:44 +0000

Hi,
I declared my LTA as INR 60000 in April 2011.
In October decided not to go for LTA updated my IT Declaration accordingly as LTA : NIL

I expect my employer to pay Gross Amount INR 35000 as part of salary in October. (My calculation is 60000/12= 5000 x 7 (number of months April to October) and from October to April it is INR 5000 per month.

My employer is calculating this as
60000/6 = 10000 as Gross amount from October salary to April salary.

In this case part of salary blocked.

Please let me know how this should be as per the policy?

Thanks
Reethu

By: santosh

santosh — Fri, 11 Nov 2011 21:04:22 +0000

I am working in Indian software company and working out of India since last one year. I am receiving Indian Salary in Indian bank Account with one component as LTA. I am planning to travel to India for Vacation. Can I claim the travel expenses from Foreign country TO Inida as LTA exemption? __"The act says Travel to any place in India but does not specifically says about travel should be from India"__

By: Same day quick cash

Same day quick cash — Sat, 06 Aug 2011 11:40:56 +0000

This is true that Exemption is allowed on two journeys in block of four years. The block from 2006–2009 has just ended and the new four year block applicable from January 1, 2010 .

By: shankar

shankar — Tue, 26 Jul 2011 10:20:16 +0000

Hi Swetha,

I travelled in May 2010, but couldn’t able to claim LTA in that year ie Jan 2010 to Dec 2010. Can I claim that amount this year ie Jan 2011 to Dec 2011?

By: UFXBank

UFXBank — Fri, 24 Jun 2011 13:27:02 +0000

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By: Helper

Helper — Fri, 21 Jan 2011 07:44:03 +0000

@ Rahul : u are eligible for LTA exemption only for the fare from A to E i.e shortest distance. But in case, A to E has no direct access then intermediate points will also be covered i.e B, C and D points and you will be eligible for claiming exemption in respect to those junctions also.

By: Quick Quid

Quick Quid — Wed, 03 Nov 2010 13:09:59 +0000

One needs to apply all the points in a proper way. There are different areas where people need help.

By: Gaurav

Gaurav — Sat, 11 Sep 2010 03:13:23 +0000

My employer gives me 70 K as LTA and this amount is too high considering only travel bill ( Air/ Rail/Road ) are to be included . Even if i travel twice in a year by air , would nnot spend more than 20-25k ..Can you suggest me how should i save tax on LTA.

By: rahul changal

rahul changal — Fri, 13 Aug 2010 11:09:54 +0000

If i have travelled from A to E. But in between i have visited to B, C and D. The travelling expenses of all the points will be covered. or they will allow the fare from A to E only (by the shortest distance as they say).

By: shwetamisra

shwetamisra — Fri, 16 Apr 2010 08:14:53 +0000

Hi Rajesh,

no there is no such mandate from the Govt. on this, however different employers have their own policies regarding LTA reimbursements. For newly joined employees, employers some time have a time duration before which the employee can not claim the LTA. Most of them make it mandatory for employee to take around 5 days of Privilege Leave, to claim LTA. I suggest that you clarify the policy regarding LTA reimbursements with the HR of your company.