Understanding Leave Travel Allowance (LTA)
Leave Travel Allowance (LTA) is a common form of tax exemption given to employees by most employers. Though it is quite simple, it often raises a lot of questions among those claiming exemption on it.
LTA covers only the cost of travel for the trip. Hotel accommodation, food, etc., cannot be claimed for exemption. LTA exemption covers you and your family. A family, under LTA, includes a spouse, parents, siblings, and children. The cost of other relatives cannot be claimed.
LTA can be claimed twice in a block. The blocks are decided by the government. They are 2010-2013, 2014-2017, and so on.