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Getting a living allowance while working abroad? You might have to pay tax on it in India

Any allowance that compensates you for expenses incurred in the course of your employment is exempt from tax under the Income Tax Act. This is irrespective of whether it is for services rendered in India or overseas. But the allowance must be backed by bills or a declaration from the employee that the money was used for the intended purpose.
Neeraj Agarwala Chetan Chandak Aalok Agrawal Ordinarily Resident Delhi Bench Income Tax Appellate Tribunal

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