Hot Deal Amazon Tax Benefits on Mobiles, Appliances, TVs & more - *In Lieu of Leave Travel Concession Benefit

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Deal Subedar
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https://www.amazon.in/b?node=22737624031...rd
Tax Benefits on Mobiles, Appliances, TVs & more with 3 simple steps:-
(*_In Lieu of Leave Travel Concession Benefit
)

  • STEP 1: Purchase good/services with 12% or more GST.
  • STEP 2: Get invoices for these orders from Your Amazon’s ‘Your Orders’ Section.
  • STEP 3: Submit the invoices to your employer to avail income tax benefit.

Frequently asked questions

Q. How to claim special cash package equivalent in lieu of Leave Travel Concession fare (‘tax benefit’)?

Ans: Kindly contact your employer on eligibility and process for claiming this tax benefit.

Q. What type of purchases are eligible for this tax benefit?
Ans: Purchases of goods/ availing of such services carrying GST rate of 12% or more from GST registered vendors/ service providers through digital mode are eligible for such tax benefit.

Q. How to obtain GST invoice/ details for claiming this tax benefit for purchases on Amazon.in?

Ans: GST invoices for applicable orders are available in ‘Your orders’ section on Amazon.in or you can consider invoices received along with packages.

Q. Which time period of purchase is covered for this tax benefit?
Ans: Purchases from October 12, 2020 to March 31, 2021 is covered under this tax benefit. Kindly check with your employer for eligibility and process for claiming this tax benefit.

Q. Where can I find more information for this tax benefit?
Ans: You may refer the office memorandum / press release by Ministry of Finance/ Central Board of Direct Taxes here.

Expiring In 16 days

Deal Wiki

  • Last updated by: admin

Easy way to save some Tax if you have bought electronics/car/any goods or services between 12th oct 2020 to 31st march 2021.
Ask your Employer for this benefit.
Its extended to all Private organization Employees too.

Key things to Note:

1) An employee needs to spend three times the amount of LTA on the purchase of goods or services, having a GST rate of 12 percent or more.

(b) The amount must be spent during the period October 12, 2020 – March 31, 2021.

(c ) The payment must be made through a digital mode which includes cheque, UPI, debit/credit card, etc., and required to furnish a copy of invoices to the employer containing GST number of the vendor and GST amount paid.

(d) The employees also have an option to submit a self-attested copy of the invoices in case they want to retain the original copies for their future reference.

(e) The bill should be in the name of an employee only.

LTA (in our company it is Twice of Basic) = Eg 80000

Amount to be spent : Rs. 80,000 × 3 = Rs. 2,40,000

Thus, if an employee spends Rs. 2,40,000 or above on specified expenditure, he shall be entitled for full LTA amount income-tax exemption.

However, if the employee spends Rs. 1,80,000 only, then he shall be entitled for 75% (i.e. Rs. 60,000) of LTA amount income-tax exemption.

64 Comments  |  
26 Dimers
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Hi @admin @MJ911 @ankur2.0 @Rosh_0007
Please help me out here to move this topic to right forum, as I’m not sure which one is this suitable for. I’ve also raised an alert for admin.
Sorry for the trouble, and Thanks in Advance.

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Only for Central Govt Employees
Edit: as other dimers suggested its applicable to private sector employees too, good thing, let me use it.
Thanks OP and others

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caks2006407 wrote:

Only for Central Govt Employees

No, some private sector companies are also providing.

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caks2006407 wrote:

Only for Central Govt Employees

It is common for everyone right?

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jileg wrote:

It is common for everyone right?

Yes, but it depends on your employer, how informative and co-operative they are. Hence, confirm with them first.

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caks2006407 wrote:

Only for Central Govt Employees

Even private companies too provide Leave Travel Concession Benefits. You’ve to first confirm with your employer.

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vu

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Has anyone confirmed this with their respective employers??

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UniqueDimer wrote:

Has anyone confirmed this with their respective employers??

We have received mail also about encashing LTC.
The onyl condition is services/products should be on employee name and GST % is 12 or more..

So it will be applicable for all online purchases and mobile bill payments too

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Vinod358 wrote:

We have received mail also about encashing LTC.
The onyl condition is services/products should be on employee name and GST % is 12 or more..

So it will be applicable for all online purchases and mobile bill payments too

Yes, it’s mandatory for the invoice to be generated on employee’s name.

BTW, thanks for confirmation. +KG for you.

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Vinod358 wrote:

We have received mail also about encashing LTC.
The onyl condition is services/products should be on employee name and GST % is 12 or more..

So it will be applicable for all online purchases and mobile bill payments too

I also got LTC revisions mail from my employer but I believe LTC expenses considered only travel expenses not any purchases. Verify it before avail any benefits

BTW I am still paying zero tax blush

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If anyone can clarify please :
I too got to claim tax benefits under this.
But I am paying 0 taxes.
So will the company pay me the sum that I purchase from Amazon ? Or it can only be availed as tax benefits ? In that case , no benefit for me. Since I am paying 0 tax

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Topsey wrote:

If anyone can clarify please :
I too got to claim tax benefits under this.
But I am paying 0 taxes.
So will the company pay me the sum that I purchase from Amazon ? Or it can only be availed as tax benefits ? In that case , no benefit for me. Since I am paying 0 tax

If paying zero tax then not for you just like me.

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On the topic of taxes and amazon, I have a doubt about the input GST claim. Few of my friends purchased some devices online for self use and claimed the input GST from their ITR fillings or whatever it is.

I am no expert but from what I found on google this option is only for those who want to sell these further like Shopkeepers or resellers.
But my friends insist It’s not like this.
Can anyone clarify.

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rockingneo wrote:

I also got LTC revisions mail from my employer but I believe LTC expenses considered only travel expenses not any purchases. Verify it before avail any benefits

BTW I am still paying zero tax blush

Yes, you’re right that LTC expenses are for Travel-related. But, read my deal description again. In brackets, it’s written that this is “in lieu of LTC”. As travelling has been discouraged during lockdown for Pandemic, hence this one time special scheme has been announced.

Hope this helps.

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rockingneo wrote:

I also got LTC revisions mail from my employer but I believe LTC expenses considered only travel expenses not any purchases. Verify it before avail any benefits

BTW I am still paying zero tax blush

Bcz of Covid situation, Central Govt provided this special provision to avail the benefit and applicable for this year only.
Bills should be from Oct 12th to March 31st only

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Topsey wrote:

If anyone can clarify please :
I too got to claim tax benefits under this.
But I am paying 0 taxes.
So will the company pay me the sum that I purchase from Amazon ? Or it can only be availed as tax benefits ? In that case , no benefit for me. Since I am paying 0 tax

No benefit since your having zero tax

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rockingneo wrote:

If paying zero tax then not for you just like me.

Chck this out.
My employer has clearly stated that it will be added in the payslip/ salary.

https://imgur.com/a/9...QJ

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Vu

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manikantaks4u wrote:

HA
It’s applicable for private sector too now
More info at https://economictimes.indiatimes.com/wealth/tax...

as per what I understand for private employees there is limit of 36000 per person
maximum benefit one can get is for self, spouse, 2 kids and parents all of them are dependent on employee.
so 36000*6 = 216000 is eligible amount to get exemption
and to get this maximum benefit employee has to produce bill value of 3 times
it will be 216000*3 = 6,48,000
.
.
Experts please confirm if the example is correct or it will be more/less.
.
.
I guess a any automobile purchase like bike or car will the best one to get maximum benefit.

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baadshah wrote:

as per what I understand for private employees there is limit of 36000 per person
maximum benefit one can get is for self, spouse, 2 kids and parents all of them are dependent on employee.
so 36000*6 = 216000 is eligible amount to get exemption
and to get this maximum benefit employee has to produce bill value of 3 times
it will be 216000*3 = 6,48,000
.
.
Experts please confirm if the example is correct or it will be more/less.
.
.
I guess a any automobile purchase like bike or car will the best one to get maximum benefit.

Exactly my thought. But
For claiming the LTC for dependants, the invoice must be in their name , Right ? Or one invoice of the automobile in your name will suffice ?

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baadshah wrote:

as per what I understand for private employees there is limit of 36000 per person
maximum benefit one can get is for self, spouse, 2 kids and parents all of them are dependent on employee.
so 36000*6 = 216000 is eligible amount to get exemption
and to get this maximum benefit employee has to produce bill value of 3 times
it will be 216000*3 = 6,48,000
.
.
Experts please confirm if the example is correct or it will be more/less.
.
.
I guess a any automobile purchase like bike or car will the best one to get maximum benefit.

Yes but I guess max family members can be included is 4, but not sure correctly. Btw it’ll be limited by the annual LTA component in payslip.

@Topsey Invoice can be on the name of employee only for claiming LTC bebefit of dependents too.

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Topsey wrote:

Chck this out.
My employer has clearly stated that it will be added in the payslip/ salary.

https://imgur.com/a/9...QJ

@rockingneo @Topsey
FYI If you guys are not paying any tax, then there’s no use of this LTC cash voucher scheme as 1/3rd of provided invoice amount will be deducted from taxable income. So it’ll help only to those who are already paying some taxes.

And, @Topsey the meaning of your employer is, as per the date of employee uploads/submits the invoices, it’ll be considered for tax calculations and if any tax benefit employees gets based on the uploaded invoices, it’ll be processes in the next month payroll.

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manikantaks4u wrote:

Yes but I guess max family members can be included is 4, but not sure correctly. Btw it’ll be limited by the annual LTA component in payslip.

@Topsey Invoice can be on the name of employee only for claiming LTC bebefit of dependents too.

So in my case LTA is 15k. So I can claim 15 X 3 (Self+ 2 dependant) or total (self+ dependant) can be max 15k ?

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manikantaks4u wrote:

@rockingneo @Topsey
FYI If you guys are not paying any tax, then there’s no use of this LTC cash voucher scheme as 1/3rd of provided invoice amount will be deducted from taxable income. So it’ll help only to those who are already paying some taxes.

And, @Topsey the meaning of your employer is, as per the date of employee uploads/submits the invoices, it’ll be considered for tax calculations and if any tax benefit employees gets based on the uploaded invoices, it’ll be processes in the next month payroll.

Thanks manikant for clarification.

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