The income tax filing season creates a buzz in the minds of salaried professionals. In order to avoid all the frenzy, it is essential that the employee understands his or her salary breakup along with all the components where savings are possible.
Every employee’s CTC accounts for their basic salary and the additional allowances allocated by the employer or the HR. It includes HRA, Medical Insurance, PF, Special Allowances etc. Therefore, the gross salary received in a month will be the CTC minus allowable exemptions such as HRA, LTA, etc. Income tax is levied on this amount, and this constitutes of the take-home salary.
The income tax department of India characterizes meal benefits as a tax-exempt entity. To help the employees be exempted from the tax bracket, the company gives a portion of the salary as meal allowance in a reloadable, digital Meal Card. Therefore, the net amount spent from the digital card will be deducted from the salary while computing the tax on income. This gives the employees easy and digitally secure access to the salary and cuts down on the taxable amount.
Sodexo has India’s largest proprietary network for 100% assured tax compliance that helps to save up to ₹12,500/- per annum tax for the employees. The Sodexo Meal Pass can be used at merchant partners, i.e., food chains and grocery stores for purchase of food items and non – alcoholic beverages. It is accepted pan-India at 1,00,000+ touch points including large chains, best-in-class eateries and local grocery stores across 1,500+ cities.
These new-age employee benefits can be monitored through a web portal wherein the HR can manage the monthly reloading of the card. The Meal Cards can be reloaded at the HR’s convenience without any monthly administration cost to the employee or the employer. So far, the solution has catered to such an extensive audience that the solution is recognized by 3 million daily users in over 11,000+ companies spread across both the public and the private sector.
Now when the taxable income is reduced, the money saved can fetch in sinful pleasures for the taste buds!
