I have shown medical bills for receiving a medical reimbursement amount, but it is not showing in Form 16. I asked my employer, and they said any reimbursement made cannot be a part of Form 16.
Question About Reimbursements and Form 16
My question is, is it true? If reimbursements are part of the salary and we show bills, then will it not be mentioned in Form 16? If it is true, then what is the reason behind that? And what if we don't show bills, then will it be a part of Form 16?
Regards,
Siddharth
From India, Sangli
Acknowledge(1)
Amend(0)
4Question About Reimbursements and Form 16
My question is, is it true? If reimbursements are part of the salary and we show bills, then will it not be mentioned in Form 16? If it is true, then what is the reason behind that? And what if we don't show bills, then will it be a part of Form 16?
Regards,
Siddharth
From India, Sangli
Acknowledge(1)Amend(0)
Yes, it is true that there are two types of payment for the Medical component:
1. By making monthly payments:
In this method, you will receive your Medical component monthly by declaring the amount as taxable in the Income Tax computation sheet. The exemption, as per your declaration or bills submission, will be provided under Section 16 in Form-16.
2. By submitting bills monthly for reimbursement:
With this approach, you will receive your Medical component only upon submitting bills, and the amount will be held until March before being released as taxable but unclaimed in Form-16.
In your case, you have already submitted your necessary medical bills to your employer, and the amount reimbursed by the employer is non-taxable. Therefore, this amount will not appear in your Form 16.
Regards,
Chandrashekar Kulagana
From India, Bangalore
Acknowledge(1)Amend(0)
1. By making monthly payments:
In this method, you will receive your Medical component monthly by declaring the amount as taxable in the Income Tax computation sheet. The exemption, as per your declaration or bills submission, will be provided under Section 16 in Form-16.
2. By submitting bills monthly for reimbursement:
With this approach, you will receive your Medical component only upon submitting bills, and the amount will be held until March before being released as taxable but unclaimed in Form-16.
In your case, you have already submitted your necessary medical bills to your employer, and the amount reimbursed by the employer is non-taxable. Therefore, this amount will not appear in your Form 16.
Regards,
Chandrashekar Kulagana
From India, Bangalore
Acknowledge(1)Amend(0)
Hi Chandrashekhar, thanks for the information. I am not clear about the first point because, as per my understanding, medical reimbursement will be mentioned in u/s 10 in Form 16 if it is a non-taxable amount. In the second point, in which section will it be mentioned as a taxable amount?
Regards, Siddharth
From India, Sangli
Acknowledge(0)Amend(0)
Regards, Siddharth
From India, Sangli
Acknowledge(0)Amend(0)
Understanding Form 16 Components
There are two parts to Form 16. In Part A, you receive the entire statement of your income, and in Part B, you receive the TDS details. Therefore, please specify which part of Form 16 you are referring to so that the seniors can advise you accordingly.
From India, Ahmadabad
Acknowledge(0)Amend(0)
There are two parts to Form 16. In Part A, you receive the entire statement of your income, and in Part B, you receive the TDS details. Therefore, please specify which part of Form 16 you are referring to so that the seniors can advise you accordingly.
From India, Ahmadabad
Acknowledge(0)Amend(0)CiteHR is an AI-augmented HR knowledge and collaboration platform, enabling HR professionals to solve real-world challenges, validate decisions, and stay ahead through collective intelligence and machine-enhanced guidance. Join Our Platform.
Income tax and form 16.xls