By Admin 
Income tax: People adopt many ways to save tax, invest in many types. One of these great way is Leave Travel allowance. This is such a tax-sending tool, which employees can take advantage of. The amount spent under LTA is tax free.
Company covering the expenditure on travel
LTA is a kind of allowance that companies give to their employees. This allowance includes the cost of traveling with employees as well as husband or wife, dependent parents or siblings, children. Like HRA, LTA is also a part of your salary, which is mentioned in your salary package.
Claims can be done only on traveling within the country
Leave travel allowance can be claimed under Section 10 (5) of the Income Tax Act, 1961. However, it is important to keep in mind that the benefit of leave travel allowance can be availed only on the journey within the country. LTA cannot claim on a journey abroad. Along with this, tax exemption on LTA can be claimed on the same amount as the company gives you. If you spend more than this in the journey, then there will be no tax exemption on it.
You can claim twice in four years block
LTA can be claimed twice in a four -year block. Currently, a block period of 2022-25 is going on. That is, you can claim LTA on two journey taken between 1 January 2022 to 31 December 2025. To claim LTA, it is necessary that all the bills on the journey should be kept with you because all these documents have to be submitted. You cannot claim exemption without them.
Claim this way
To claim tax exemption on LTA, details related to tickets, boarding passes, hotel bills, local transportation will have to be submitted to the employer with LTA CLAIM form, which is 31 March. For this, you will also have to give your PAN card and bank account details so that there is no problem in getting the references.
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