Hi, my father was admitted to the hospital, and I paid the bills, requesting reimbursement of approximately Rs. 30,000. My company does not have any mediclaim Third Party Administrator (TPA); instead, they provide reimbursement directly from the company. However, every year, around Rs. 6,000 is deducted from each employee's total salary for mediclaim.
The company has reimbursed the required amount, but it has been added to my salary, making it taxable income. Therefore, my question is, "Is Mediclaim Reimbursement Taxable?"
From India, Chennai
The company has reimbursed the required amount, but it has been added to my salary, making it taxable income. Therefore, my question is, "Is Mediclaim Reimbursement Taxable?"
From India, Chennai
Medical Reimbursement in PSUs and Private Organizations
In PSUs and some private organizations, they provide the facility to their employees for medical reimbursement with some ceiling or no ceiling based on cadre. Such reimbursements are not considered as income and, therefore, are not taxable.
In your case, it is the failure of your employer for not providing medical insurance coverage to the employees, even though they are deducting premiums from their pay. Hence, they should not include the reimbursements in the employees' income.
Pon, Chennai
From India, Lucknow
In PSUs and some private organizations, they provide the facility to their employees for medical reimbursement with some ceiling or no ceiling based on cadre. Such reimbursements are not considered as income and, therefore, are not taxable.
In your case, it is the failure of your employer for not providing medical insurance coverage to the employees, even though they are deducting premiums from their pay. Hence, they should not include the reimbursements in the employees' income.
Pon, Chennai
From India, Lucknow
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