Confused About Medical Reimbursement on Pro-rata Basis? Need Help with My Situation!

particlereddy
Hi all, Please help me out. I am in a peculiar situation regarding medical reimbursement. This is in accordance with Indian Income Tax.

Reimbursement

This exemption is available in respect of: reimbursement up to Rs. 15,000 [12 months * Rs 1250] for medical treatment of the employee and family members. Reimbursement of expenditure incurred by an employee and family members in approved hospitals, dispensaries, etc.

Now, for a particular month [31 days in that month], I stayed in a company for 19 days exactly and I submitted bills for exactly Rs. 1250. For the next 11 days, I did not join any other company.

The question is, will the reimbursement be taken for Rs. 1250 or Rs. 766 [=(19*1250/31)] [This is what my employer calls a pro-rata basis].

Please explain in detail what the reimbursement/settlement will be finally.

Thanks,
Particlereddy
particlereddy
Pro-Rata Application in Income Tax

Is this kind of pro-rata possible in Income Tax? I am mainly asking from the following perspective:

1. Telephone expenses [according to Income Tax: Rs 1500 per month].
2. Fuel expenses [according to Income Tax: Rs 1800 per month, 4-wheeler capacity is < 1200 CC].

Please let me know if pro-rata has to be considered for the above two points.
If you are knowledgeable about any fact, resource or experience related to this topic - please add your views. For articles and copyrighted material please only cite the original source link. Each contribution will make this page a resource useful for everyone. Join To Contribute