6 Salary Perks That Cut Your Tax Bill Legally
Most salaried employees don't fully use tax-free allowances in their salary. From food coupons to phone bills, these perks are exempt from income tax — and using them smartly can save you thousands every year.
Skipping meal card benefits? You're leaving ₹57,600/year on the table — that's 3 iPhone EMIs!
Your employer perks could save you this much in tax every month
Key Takeaways
Ask your HR today whether your CTC includes LTA, meal cards, phone reimbursement, and uniform allowance — restructure if allowed.
Submit actual bills for phone and internet reimbursement — unreimbursed claims with bills are generally not added to taxable income.
Plan LTA travel before your 4-year block ends (2022–2025 block closes soon) — book and claim before losing the exemption.
Most salaried employees don't fully use tax-free allowances in their salary. From food coupons to phone bills, these perks are exempt from income tax — and using them smartly can save you thousands every year.
Here's what happened: Leave Travel Allowance (LTA) is fully tax-exempt for travel within India for you and your family — claimable twice in a 4-year block.. Children's Education Allowance gives up to ₹100/month per child (max 2 kids) tax-free — a small but real saving per year.. Meal card or food voucher benefits are tax-exempt up to ₹50 per meal (roughly ₹26,400/year if used daily on working days)..
What you should do: Ask your HR today whether your CTC includes LTA, meal cards, phone reimbursement, and uniform allowance — restructure if allowed.. Submit actual bills for phone and internet reimbursement — unreimbursed claims with bills are generally not added to taxable income.. Plan LTA travel before your 4-year block ends (2022–2025 block closes soon) — book and claim before losing the exemption..
Pro tip: Phone bill reimbursements have no fixed cap under tax law — as long as bills are genuine and submitted, the full amount is typically non-taxable for the employee.
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- [1]“Income tax guide: Allowance and reimbursement exemption limits every salaried employee should know” Wealth-Economic Times · 13 Jul 2026
This article is reported by GoCredit's Editorial Team based on the source above. GoCredit synthesises, contextualises, and adds India-borrower-relevant analysis. We are not the original publisher.