What is transportation allowance?

What is transportation allowance?

Transport allowance is an allowance given to meet commuting expenses between place of residence and office or to meet personal expenditure of employee of transport business. Conveyance allowance is an allowance granted to meet the expenditure on conveyance in performance of office duty.

How is transport allowance calculated from basic salary?

Transport Allowance = A + [(A x D)/100] For example, if an employees’ basic salary is Rs. 49,000 in pay level 6 and he is working in Metro: Transport Allowance = 3600 + (3600 x 17) / 100. The amount of Transport Allowance is Rs.

Is the any exemption for transport allowance?

Transport Allowance is covered by section 10(14)(ii) of the Income Tax Act. It is the tax-exempt to the extent of the amount notified by the Income Tax Department. Actual expenditure is not required in order to claim the tax exemption.

How do I ask for transportation allowance?

Respected Sir/ Madam, My name is __________ (name) and I am ________ (designation) of ________ (department) in your reputed company having employee ID number _______ (employee ID number). I am writing this in order to request you for a travel allowance.

What is the difference between Travelling allowance and transport allowance?

Difference between Travel and Conveyance Allowance. The Income Tax Department defines conveyance allowance as, ‘the allowance granted to meet the expenditure on conveyance in performing official duty’, while transport allowance is only meant to ‘meet the costs of travel on tour or transfer’.

Who is not eligible for transport allowance?

Central government employees who have been provided the Government facility of Staff Car Transport. 2. Absence from duty during a full calendar month, will not be admissible Transport allowance.

Who are eligible for travelling allowance?

After the implementation of the 7th CPC, Central Government employees in the pay level of 6 and above are eligible for an allowance for travel by air. Additionally, employees in the pay level 5 and below will be provided an allowance to travel by First Class/ AC-III/ AC chair car by train.

How much travel allowance can I claim?

For example, if LTA granted by employer is Rs 30,000 and actual eligible travel cost incurred by employee is Rs 20,000, exemption is available only to the extent of Rs 20,000 and balance Rs 10,000 would be included in taxable salary income.

What is the difference between conveyance allowance and Travelling allowance?

Travelling allowance is given to meet commuting expenses between place of residence and office or to meet personal expenditure of employee of transport business. It is fully taxable. Conveyance allowance: Conveyance allowance is allowance granted to meet the expenditure on conveyance in performance of office duty.

How do I write a letter of request for transportation?

I came across the ads of your company and the transport services you give are very reasonable. I want to request for your transport services. (Describe your requirements). I will be waiting for your positive response within 3-4 working days (More/less) as I need to move as soon as possible.

How do I write a letter to accommodation and transportation allowance for HR?

My employee ID is _______ (employee ID). I would like to bring into your kind concern that I have shifted to ______ (mention address) on a rental basis. I am writing this letter to request a monthly house rental allowance. I am hereby attaching a copy of the rental agreement along with other required documents.

Who are eligible for Travelling allowance?

Is there such thing as basic travel allowance?

You have already guessed that BTA means basic travel allowance. However, this term is not official, and it is not used anywhere in the world. It is the twenty-first century out there, by the way.

What is the legal definition of transportation allowance?

Transportation allowance means a financial fringe benefit provided by the employer which is used by an employee to purchase transportation services for commuting to the worksite. Loading…

Are there any tax exemptions for transport allowance?

Transport Allowance As Per the New Tax Regime (FY 2020 to 21) The Government has provided an optional new tax regime from the financial year 2020 to 2021. And in it, there are no tax deductions or exemptions allowed. So, if you opt for the new taxation rules, then you are not allowed to claim exemptions on HRA, the standard deduction and so on.

Is there such thing as basic travel allowance in Nigeria?

You have already guessed that BTA means basic travel allowance. However, this term is not official, and it is not used anywhere in the world. It is the twenty-first century out there, by the way. Nevertheless, many people still hear about basic travel allowance in Nigeria and even outside the country.