Leave Travel Allowance (LTA)

I work in Bangalore and before covid in 2020 I used to travel frequently to my home town at least twice a month. It will cost me around 2-3K for every round trip in private bus or train.

Can I claim LTA for all these trips upto max LTA cap or atleast for one trip.

Hi @pushpasooraj,

The LTA exemption is available only for two trips in a block of four calendar years. The current block for leave travel is 2018 to 2021.

Here are some other conditions you need to keep in mind to claim the LTA exemptions:

Hey @Nireka Can you be more specific to my case.

Here trip means one way trip or round trip

Hi @pushpasooraj, the trip here for LTA includes any round-trip in India.

1 Like

I take a vacation with my family every year, can I claim it in LTA?

  1. For FY 21 my employer due to some reason was not able to give me benefit of LTA Cash Voucher scheme. Can I claim the same while filing returns ? All purchases made between stipulated dates Oct 12, 2020 and March 31, 2021

  2. For FY21 I had transferred some money to my mother (pensioner)'s trading account. There are losses on the trading (F&O) that had been done on the trading account. Can those losses set off against my income ? there is a clear trail of money going from my account to my mothers trading account and we can have an undertaking where it can be agreed between me and my mom that all profits and losses on trading are to my benefit/ loss.

Note : My mother has pension and income from rental and fixed depoists.

@Divya_Singhvi @Laxmi_Navlani @Kaushal_Soni @AkashJhaveri can you?

Hi @Khushinder_Mohan

  1. An employee can claim an LTC exemption once he fulfills the required criteria.
    You can claim the available LTC exemption while filing Income Tax Return if the invoices are submitted to your employer and the claim has been settled before 31st March 2021.

  2. Clubbing of income/loss does not apply for income earned or loss incurred on money gifted or transferred by children to their parents

Thanks…if money transfered to my mother on revocable basis then income earned or loss incurred may be clubbed…pls review based on the clubbing provisions that do talk about it being applicable if transfer is on revocable basis…

also I submitted invoices on LTA cash voucher to my employer who wasnt able to process due to a technological constraint. May I claim the exemption while filing ITR ? what do you mean by claim has been settled ? My employer gave the LTC amount to me as cash after deducting tax

How can we claim LTA using quicko platform? I don’t see any section where we can declare LTA

Hey, while adding your salary details on Quicko, you can click on your employer, navigate to salary breakdown and click on Exempt Allowances u/s 10. There, under “Travel allowance” you can enter your LTA.

Here’s a guide on how you can enter your salary details on Quicko. Hope this helps

I am about to start my career from October and so If I am making around 3.5 Lakhs Gross Income from October,2022 to March,2023.Then if I claim 80C deductions of 1.5 Lakh and 50K standard deduction then my Gross salary will become 1.5 Lakh.So Tax Liability will become 0.

Now if because of Work From Home,I don’t claim any allowances given as per salary slip,then will I have to pay any tax for these Unclaimed Allowances at the end of Financial year 2022-2023.

Hi @Heath_Slayer

No taxes are to be paid on unclaimed allowances. Since your total income is below 5 lakhs.

Hope this helps!

I travelled in Mar-23 and forgot to submit the same LTA claims to the employer.
Can I directly claim Tax Exemption while filing in ITR for FY22-23 directly?
Is there any way I can accommodate this now?
Please help me.

Hi @Debayan

In my opinion, you should contact your employer for the same.
The Income-tax Act, 1961 is silent on whether the tax exemption on LTA Scheme can be claimed when filing the ITR.

Ensure you have all the valid supporting documents to claim the exemption in case there is a notice from the ITD.

1 Like