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Has working from home increased your tax liability? This is what you should do to save on tax

Has working from home increased your tax liability? This is what you should do to save on tax
Has working from home increased your tax liability? This is what you should do to save on tax

SynopsisAs work-from-home becomes the new normal across the country, salaried taxpayers are seeing their tax shoot up. Many of the allowances in the pay package, including the commonly used reimbursement of fuel or conveyance expenses, have become taxable due to the travel restrictions imposed by Covid.

Girish Agarwal’s salary has been cut due to Covid, but he will pay a higher tax this year. “I will not be able to claim exemption for Leave Travel Allowance (LTA) due to restrictions on travel,” says the Delhi-based executive glumly. With the LTA now taxable, his income has gone up by Rs 60,000 and his tax liability by almost Rs 19,000.As work-from-home becomes the new normal across the country, salaried taxpayers are seeing their tax shoot up.
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