Tax-free reimbursement for mobile phone, telephone, and internet bills when paid by the employer. The lower of the actual bill or the CTC-allocated amount is fully exempt.
Eligible Expenses
- Mobile phone bills
- Landline telephone bills at residence
- Internet / broadband bills
Exemption Limit (Lower of)
- Actual bill amount submitted with receipts
- Amount allocated in salary package for phone/internet
How to Claim
- Submit monthly bills to employer with receipts
- Reimbursement is processed through payroll
- Applicable for both personal and company SIM cards
This guide reflects FY 2025-26 (AY 2026-27) and is for general information. Tax rules and limits change, and how they apply depends on your circumstances. It is not professional tax advice; consult a qualified Chartered Accountant before acting.

