LTA exemption: Submit tax-saving proofs to employer by March 31 deadline as claiming LTA in ITR is a hassle
Salaried individuals usually have to submit the necessary proof of expenses and investments to their employers to claim deductions and exemptions under various sections of the Income-tax Act. If you are contemplating whether or not to submit proof to your employer now as you can claim the deductions while filing your income tax return (ITR), you should know that it can cause trouble in some cases. It is easier to claim certain exemptions through your employers to avoid hassles and save time. One such exemption is Leave Travel Allowance (LTA). LTA, usually a component of your salary, covers the expenses of your travel during vacation. The cost incurred for family members who travel with an employees is also allowed as exemption. Family members include spouses, children (up to two if born on or after October 1, 1998), dependent parents, and dependent siblings. To claim LTA, the employee typically needs to submit documentary evidence of the incurred travel expenditure to the employe...