How is the exemption on Leave Travel allowance calculated?
Allowance to meet the cost of travel incurred by employee: Leave Travel Expenses exempt for 2 domestic journeys in a block of 4 years (Current block is 2002 2005, and next block is 2006 2009) One un-availed journey for previous block can be availed in the 1st year of next block Assessee should be part of the travel throughout Boarding and lodging are not exempt Leave should be availed during the period of travel Only fare cost is exempt, which is restricted to Particulars Exempt Amount Journey performed by air Economy fare by the shortest route or actual amount spent, whichever is the least. Journey performed by rail Air-conditioned first class rail fare by the shortest route or actual amount spent, whichever is the least. Journey performed by any other mode but the origin and destination are covered by Rail Air-conditioned first class rail fare by the shortest route or actual amount spent, whichever is the least. Where the origin and destination are not connected by rail, and Where a
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