Wef FY 2018, conveyance allowance and medical allowance have been removed from exemption from Income Tax. It is advisable to not include them in the structure; rather i suggest you can add Meal Cards like Edenred etc if the company is not providing free or subsidized meals, fuel reimbursement, communication reimbursement and LTA so as to make the compensation structure tax friendly.
7th March 2019 From India, Delhi
The revised rate of Standard Deduction (Rs. 50k) will be applicable for the FY. 2019-2020. Upto Mar'19 the SD is Rs. 40K only.
Yes, the Medical and Conveyance allowances are not part of IT exemption, hence there is no use.
As suggested by Mr Rahul, you can frame re-imbursement policy agst Fuel, Mobile, Books and Periodical, LTA etc. But make sure there must be proper framed policy and those components should be paid separately.
If they also paid with fixed amount on monthly basis without any supporting document than it can be treated as wages.
Hope the points are cleared now. Senior and give more inputs.
8th March 2019 From India, Delhi