Understanding Conveyance Allowance: Is It Monthly or Yearly and How to Maximize Tax Benefits?

I have received an offer where it states that conveyance reimbursement is 88,000 per annum. I understand that 9,600 of this amount is tax-free. My questions are:

a. Is this a monthly component or yearly?
b. If I provide bills, will this amount be entirely exempted?

Thank you.

Conveyance Allowance Taxability

Conveyance allowance taxability is covered under the Income Tax Act 1961, and ₹800/- per month is exempted without producing any bill.

In my view, anything over ₹9,600 per annum is taxable in your hands, irrespective of whether you produce bills or not.

If it is part of the salary, then apart from ₹9,600/-, the entire amount will be taxable. However, if it is not a part of your salary and is given as conveyance for official work-related expenses, it will be booked by the company and will not be taxable under your income. This is because you are reimbursing against official conveyance by producing a bill.

If it is provided under Salary Breakup, it will be a monthly component.