Reimbursements Without Bills: Can Employers Trust Declarations for Benefits Like Petrol and Mobile?

Is it necessary for a company/employer to ask for bills for reimbursements of benefits like newspapers, mobile bills, petrol, etc.? Can the employer reimburse on the basis of a declaration?

Employers can reimburse expenses based on a declaration if a prescribed limit is set for expenses. However, it is always better to supplement bills/vouchers along with the claim for tax benefits for employees.

Risk of False Declarations
In the case of a declaration only, there is a risk of submitting a false declaration even if no expenses have been incurred by the employee. Requiring bills can help significantly in reducing this practice.