Salaried taxpayers, pensioners need not file any documents and bills to claim the 40,000 standard I-T deduction on travel and medical expenses, CBDT chief Sushil Chandra told .
Giving a relief to salaried class, Union Finance Minister Arun Jaitley on February 1 proposed a standard deduction of ₹40,000 in lieu of transport allowance and medical reimbursement entailing a revenue sacrifice of ₹8,000 crore.
The Minister, however, did not propose any change in the tax slabs or rates for individual taxpayers.“In order to provide relief to salaried taxpayers, I propose to allow a standard deduction of ₹40,000/- in lieu of the present exemption in respect of transport allowance and reimbursement of miscellaneous medical expenses,”
Mr. Jaitley said while presenting the Union Budget 2018-19 in Parliament on February 1. The standa rd deduction, which is provided to salary earners, was discontinued from the assessment year 2006-07.
