7) Per Diems –

Per Diems refer to that money, which is given by a firm to its employee for daily spending, connected with work travel, food and living. This is usually given when an employee goes abroad for company tasks. A lump sum amount is given to the employee and the period is about 3 months. It is not taxable, either in India or abroad. The only condition to be fulfilled here is that the entire Diem should be spent; else the remaining amount will get taxed. Moreover, not disclosing this amount is considered illegal and is punishable. Per Diems are exempted from tax under Section 10(14)(i), with Rule 2BB(1)(b) of the IT Act. 

8) Tuition Fee of Children –

This is perhaps the one deduction, which most people forget to claim. This is given only to individuals and not Hindu Undivided Family. This deduction is given for 2 children only. If the assessee has more than 2 kids, then he/ she can decide for which 2 kids’ fees to be deducted for tax. If both husband and wife work, then each of them is eligible for getting tax exemption for 2 children. Sections 80C, 80CCC and 80CCD provide a deduction of maximum 1,00,000 and not more. Only full-time courses are covered under this and not part-time ones. Assessee or his/ her spouse is not eligible for this tax exemption. Private tuition fees are not covered here. Exemption is given for recognized schools, colleges and universities only.