Employer not considering Medical reimbursement exemption for income tax ?

POSTED BY Amit Gupta ON February 21, 2014 9:42 am COMMENTS (9)

I recently switched my job. I used to claim the medical reimbursement exemption for the whole fiscal year in Feb and March by submitting the medical bills to my employer. As per the IT rules, an individual can claim medical reimbursement exemption upto Rs 15000 in a fiscal year. But when I submitted previous year medical bills to my current employer, he refused to consider them for exemption. He told me that I can get exemption for the medical expenses after my joining date. I explained him the whole scenario but still he is not considering previous year expenses.

I told him that I do understand that I can get medical reimbursement for the period I have worked in your organization but I want you to consider the exemption for the medical expenses borne by me. But he refused to do so. Since the medical reimbursement exemption can only be provided by employer and there is no section in it return to claim it. Hence I couldn’t claim the exemption for the medical expenses. Is it possible to claim the exemption through any other way?

Regards

Amit Gupta

9 replies on this article “Employer not considering Medical reimbursement exemption for income tax ?”

  1. Mahesh says:

    Hi,

    I have recently changed my job in August 2017 and have claimed entire 15000 of medical reimbursement in the initial few months of the financial year. In my full and final settlement, the employer had reversed around 11000 from my salary against medical reimbursement. Why they have deducted the amount when I have already submitted the bills and have claimed the 15000.

    1. Jagoinvestor Admin says:

      Hi Mahesh

      This is very specific query which you should follow up with the concerned authority only. We wont be able to comment on that

      Manish

  2. ashalanshu says:

    Dear Amit, this health check up related deduction is within the existing section 80D and over all limit of 15K for self and family and 30-35K for Self anf family + parents policies. So in a sense no separate provision.

    Thanks

    Ashal

  3. Amit says:

    Hi Prashant,

    Under which section, we can take additional tax benefit of Rs. 5000 for Health Check-Up?

    Thanks,
    Amit

  4. ashalanshu says:

    Dear Prashant, if medical reimbursement is allowed from your employer then only it’s allowed as tax free allowance upto 15000 Rs. In case your current employer is not giving or the prev. employer was not giving the medical allowance, you can not claim.

    Thanks

    Ashal

    1. prashantk says:

      Thanks for clarification, Ashal.

      Thanks
      Prashant

  5. prashantk says:

    Dear Amit,
    Apart from 15,000/- towards medical reimbursement, from AY-2013-14 onward, we can claim additional 5,000/- towards preventive health check-up is available.

    Thanks,
    Prashant

  6. ashalanshu says:

    Dear Amit, please claim the same at the time of filing your ITR from the income assigned to prev. employer.

    Thanks

    Ashal

    1. prashantk says:

      Dear Ashal,
      Thanks for the reply. Even I faced the same issue with the medical reimbursement. Current employer considered bills only from the joining date. As you said, I am claiming the amount during ITR filing.
      However, I wanted one clarification. Is this medical reimbursement of 15k is dependent on employer? I mean, in my spouse company, neither they are accepting any medical bills nor they are ready to deduct 15k from total income.
      I searched in Section 17(2) and Section 10 of IT law, but couldn’t get any clarification. I was wondering is this differ from employer to employer.
      Appreciate, if you can guide me in this?

      Thanks,
      Prashant

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Download Our FREE Ebook!

Available only for first 100 people today

Download Our FREE Ebook!

Available only for first 100 people today