Food · perquisite
Meal cards and free meals
Meals or vouchers provided during working hours are exempt up to a per-meal limit, now in both tax regimes.
How the taxable value is determined
Exempt up to Rs 200 per meal (raised from Rs 50) for meals during working hours at office premises or through non-transferable vouchers usable only at eating joints. At two meals across 22 working days this is Rs 8,800 a month, about Rs 1,05,600 a year. The Income-tax Rules, 2026 dropped the proviso that had denied this under the new regime, so it is available in both regimes from 1 April 2026. Cash meal allowance remains fully taxable.
Regime availability
- Old regime
- Available
- New regime
- Available
Documentation to keep
Voucher issuance records showing use during working hours.
Legal basis: Rule 15(5)(a), Income-tax Rules, 2026 (earlier Rule 3(7)(iii), 1962)
Frequently asked questions
Is meal cards and free meals taxable in India?
Meals or vouchers provided during working hours are exempt up to a per-meal limit, now in both tax regimes. Exempt up to Rs 200 per meal (raised from Rs 50) for meals during working hours at office premises or through non-transferable vouchers usable only at eating joints. At two meals across 22 working days this is Rs 8,800 a month, about Rs 1,05,600 a year. The Income-tax Rules, 2026 dropped the proviso that had denied this under the new regime, so it is available in both regimes from 1 April 2026. Cash meal allowance remains fully taxable.
Does the exemption apply under the new tax regime?
Under the old regime this treatment is available; under the new regime it is available. Legal basis: Rule 15(5)(a), Income-tax Rules, 2026 (earlier Rule 3(7)(iii), 1962).
What records should I keep for meal cards and free meals?
Voucher issuance records showing use during working hours.
Related tools & guides
Reflects provisions in force for FY 2026-27; verify against the latest government publications (incometax.gov.in). Information, not tax advice.