Yes, reimbursements by your employer towards grocery, children’s education, or personal travel are considered taxable perquisites unless they fall under an exempt category or have a statutory exemption limit.

For example:

• Children’s education reimbursement is exempt up to ₹100/month per child for a maximum of two children.
• Grocery or general expenses are considered personal and are fully taxable.
  

Each component of reimbursement must be examined to see if it qualifies for a specific exemption under Section 10 or is covered under the perquisite valuation rules.

Ex-gratia payments (voluntary payments made by an employer without legal obligation) are generally fully taxable under “Income from Salaries” as they are deemed part of salary income.

However, there are specific exemptions:

• Ex-gratia on death during service may be exempt if received by legal heirs.
• Retirement-related ex-gratia may qualify for relief under Section 89(1) if paid in arrears or lump sum.
  

If the ex-gratia relates to voluntary retirement, it may be eligible for exemption up to ₹5 lakhs under Section 10(10C), subject to conditions.

Yes, uncommuted pension (received periodically like monthly pension) is taxed as salary income under the Income Tax Act. It is treated the same way as salary and taxed at the applicable slab rate.

• Commuted pension (received as a lump sum) is partially or fully exempt:
  • Fully exempt for government employees
  • Partially exempt (1/3rd or 1/2 depending on gratuity) for others under Section 10(10A)
    

If you receive both types of pensions, each must be reported correctly in the ITR under its appropriate category.

No, you won’t be taxed twice, but you must report salary arrears correctly to avoid higher tax outflow. Arrears are taxable in the year of receipt, even if they pertain to a previous financial year. However, you can claim relief under Section 89(1) if this results in a higher tax slab due to bunching of income. To claim this, you must file Form 10E before filing your return. Many taxpayers miss filing Form 10E and end up losing the benefit of relief. Ensure your Form 16 from the current employer reflects this income if it was processed through them.

Reimbursements are taxable unless they are specifically exempt under the Income Tax Act. Fuel reimbursements, if backed by proper logbooks and used for official purposes, may be exempt. Mobile and internet bills reimbursed for work-from-home or official use may also be tax-free if they’re supported by employer policies and submitted with bills. However, if there is no distinction made between personal and official usage, the entire amount is added to your taxable income under the perquisites category.

Yes, the joining bonus is fully taxable in the year of receipt. If the company recovers the amount later when you resign, there is no direct mechanism under current tax laws to adjust this repayment in your future returns. However, you may claim it as a loss or expense under Section 37(1) (in limited cases) if proven as a contractual obligation, but this claim can be challenged. Practically, most employees end up bearing the tax unless their employer revises the Form 16.

Yes, it depends on your residential status for that financial year. If you qualify as a resident, your global income is taxable in India and the foreign salary must be declared in your ITR. However, if TDS or tax was paid in the foreign country, you can claim relief under Section 90 or 91 using the Double Taxation Avoidance Agreement (DTAA). You will need Form 67, salary slips, and the foreign tax paid certificate to claim this benefit.

Yes, leave encashment received at the time of resignation or termination is fully taxable if you are a private sector employee and not retiring. Only retirement-related leave encashment qualifies for exemption under Section 10(10AA), and even then, subject to a maximum of ₹25 lakh. For non-retirement cases, the entire amount is taxed as part of your salary income, and TDS is deducted accordingly.

Unfortunately, bonuses are fully taxable in the year of receipt, even if they relate to performance in a prior year. However, if the bonus pushes you into a higher tax bracket, you may be eligible for relief under Section 89(1). This allows you to recalculate tax as if the income were spread across relevant years. You must file Form 10E with your return to claim this relief. Without it, the ITR system will automatically reject the relief claim.

Rent-free accommodation is a taxable perquisite. Its value depends on:

• Whether your employer owns or leases the property
• Whether the accommodation is furnished or unfurnished
• Your salary (basic + DA + bonus + commission)

As per Rule 3 of the Income Tax Rules:

• If owned: 15% of salary (in metro) or 10% (non-metro)
• If leased: Lower of actual rent paid or 15% of salary
  

Add 10% of furniture cost to perquisite value for furnished houses. The calculated value is added to your salary and taxed accordingly.

No. Under the new tax regime (Section 115BAC), you cannot claim common exemptions and deductions like:

• HRA (House Rent Allowance)
• Leave Travel Allowance
• Section 80C (LIC, ELSS, PF, etc.)
• Section 80D (medical insurance)
  

The new regime offers lower slab rates but disallows 70+ exemptions/deductions. If you wish to claim these, you must opt for the old regime while filing your return (if not opted via your employer earlier).

Yes, if your PF account was not transferred and a new one was opened, it may be treated as two separate accounts. Withdrawals from each may attract tax on employer contribution and interest if:

• The continuous service is less than 5 years
• You withdraw before completing 5 years without transferring the PF
  

Ensure that you initiate PF transfer via UAN portal to maintain continuity. This helps retain the tax-free status and avoids TDS on future withdrawals. There is no tax implication on transfer from one PF account to another.

Yes. As per Finance Act 2020 changes (effective from FY 2020–21), if your employer’s total contribution to:

• EPF
• NPS (Section 80CCD(2))
• Approved Superannuation Fund exceeds ₹7.5 lakhs in a financial year, the excess is taxable as a perquisite under Section 17(2)(vii). Moreover, any annual accretion (interest or dividend) on this excess contribution is also taxable each year.

You must check your Form 16 Part B and perquisite details to confirm if this limit is crossed.