Books and Periodicals

Books and Periodicals

Expenses incurred on the purchase of newspapers, magazines, books, etc are covered in these books and periodicals allowance.

Books And Periodicals Allowances Use for

  • Through books and periodical allowances, the employee can claim reimbursement over expenses sustained on newspapers, books, magazines, etc.
  • Reimbursement for these things is tax-free for employees.
  • These reimbursements are tax-free for employees.
  • The maximum amount of reimbursement is limited to The Actual bill amount or Amount provided for this in CTC whichever is lower.

Also, read | Mobile Reimbursement

How Employees Can Claim Books And Periodicals Allowance

  • They need to show the expenditure proof they incurred on books/newspapers etc.
  • In some cases, employees need to submit bills of purchase they made to claim benefits.

What If You Show Fake Bill To Claim Books And Periodicals Allowance?

  • Many taxpayers are submitting fake bills to claim this allowance¬†or to claim HRA, LTA, etc.
  • In addition, the new income tax return (ITR) form will help identify such cases through computer-based processing, a highly-placed tax official told India Today on condition of anonymity.
  • To curb the practice of claiming tax exemption through allowances/reimbursement supported bogus/fake bills, documents, etc.
  • However, the Central Board of Direct Taxes (CBDT) has introduced the new ITR form for the assessment year 2019-20.
  • Hence, If a case is chosen for scrutiny, the assessee will need to show all the bills, documents, etc. to justify the claim of tax write-off made by him, said accountant Manish Garg.

What Are The Books And Periodicals Exemption Sections?

  • Employees can claim reimbursement of expenses incurred on books, newspaper subscriptions, periodicals, journals, and so on.
  • The maximum sum of reimbursement is limited to the sum provided for books and periodicals in CTC.
  • According to Income Tax section 10(14)(i) of the income tax act, all allowances offered to employees are tax-free.

Nikita Dhyani

Nikita Dhyani is a Content Writer at Ionic Digitech. A passionate content writer and has been using her content writing skills to develop various content related to financial and business-related topics. She has done BAJMC (Bachelors in media and mass communication and journalism) from Graphic Era University. Her specialties include - Content creation, Content development, Media managing, Communications skills.

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