Which of the following is NOT chargeable to tax as employment income under PITA?
ALeave allowance paid in cash
BReimbursement of expenses actually incurred on the employer's businessCORRECT
CBonus paid at year end
DUtility allowance paid monthly
ICANTaxationPersonal Income Tax: Employment Income2025
AI
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Why the answer is B, and why the others tempt you.
A reimbursement merely restores money the employee spent on the employer's behalf, so it confers no benefit and is not taxable. Allowances and bonuses paid in cash are part of gross emoluments and are chargeable.
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