The brutal increase in petrol price by Rs 7.50 per litre will badly affect all companies that pay petrol or diesel allowances to its employees. A majority of the employees who get petrol or diesel allowances submit bogus bills. Moreover, this allowance is not taxed. To curb the malpractice of claiming bogus fuel expenses, this allowance should be included in the income of the employee. This will increase the tax revenue and also bring down fuel consumption.
Sudhir K Bhave, Mumbai
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