Other Allowances and

Reimbursement Policy [OAAR]

CONTENTS:
I. Distribution List_______________________________________________________3
II. Version History________________________________________________________3
III. Objective___________________________________________________________3
IV. Scope______________________________________________________________3
V. Policy Statement_______________________________________________________4
About Other Allowances and Reimbursement [OAAR] Plan_________________________4
VI. Basket of Allowances & Reimbursements__________________________________4
Table 1- Maximum Annual Allowance Limits____________________________________4
Eligibility Cycle:__________________________________________________________4
Tax Applicability__________________________________________________________5
Details of individual elements under OAAR_____________________________________6
1. Remote Working Allowance_____________________________________________________6
2. Books and Journals Allowance__________________________________________________6
3. Professional Pursuit Allowance__________________________________________________7
4. Conveyance Allowance________________________________________________________7
5. Leave Travel Assistance_______________________________________________________8
6. Meal Card__________________________________________________________________8
7. Vehicle & Driver Allowance_____________________________________________________8
8. National Pension Scheme______________________________________________________9
VII. Process____________________________________________________________9
Declaration under Non-taxable OAAR plan:_____________________________________9
Process for claiming reimbursements________________________________________10
1. Under Non-Taxable OAAR - 1 plan________________________________________10
2. Under Non-Taxable OAAR - 2 plan________________________________________10
Violation of Policy / Non-compliance Actions___________________________________10
Point of Contact_________________________________________________________10
Management Rights______________________________________________________10

Other Allowances and Reimbursements policy

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 Policy Name Other Allowances and Reimbursements policy
Version No 98.0
Contact Person Payroll and Compensation & Benefits
Last Review Date June 4April 1, 2021

Date: April 1June 4, Prepared By India HR Team

2021 Mourya H B
Date: April 1June 4, Reviewed By India Payroll Team
2021 Chandra Bhandari
Date: April 1June 4, Approved By India HR Team
2021 Varsha Kotdiya, Burzin Katki, Andrew Isaac T

1. Distribution List
Issued to all employees of Capgemini

2. Version History

Version Date Description

Flexi plan policy replaced with Other Allowances and
1.0 April 1, 2013
Reimbursement policy
2.0 February 2017 OAAR amount change
VII Deviations and escalation Matrix section removed
3.0 April 27, 2017
4.0 June 27, 2017 VI Process updated for better clarity
5.0 April 5, 2018 OAAR amount change effective 1st April, 2018
6.0 April 24, 2018 Changes to OAAR Declaration Window
Additions of OAAR FAQ statements and statement edits in LTA,
October 15,
7.0 Meal coupons and vehicle reimbursement.
2020
Updated Excelity URL.
 Restructuring of OAAR into OAAR 1 and OAAR 2
 Introduction of new allowances to assist employees defray
special expenses related to their job/employment, such as
8.0 April 1, 2021 Books and Journals, Remote working and Professional Pursuit
allowance
 Increase in allowance limits- LTA- C1 grade, Vehicle and Driver
Reimbursement for B1 grade and Meal Cards for all grades
 Replacing Excelity links with new payroll portal links
9.0 June 4, 2021  Adding car lease option under vehicle and driver allowance
 Changes in Remote Working Allowance

3. Objective
The Objective of this document is to provide guidelines on the various elements included under
the “Other Allowances and Reimbursement” policy, the rationale for extending a particular
element and outline the associated processes for utilizing these elements.

4. Scope
The Policy will be applicable to all the permanent full-time/ part time Employees of Capgemini
Other Allowances and Reimbursements policy
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5. Policy Statement

About Other Allowances and Reimbursement [OAAR] Plan

OAAR is a basket of allowances and reimbursements being offered to assist employees defray
special expenses related to their employment and also includes tax and non-tax benefits to
help employee optimize and plan income tax benefits as applicable under income tax rules.
OAAR is divided into 2 buckets:
1. OAAR 1: Employees need to choose among the options available in the beginning of the
year, subject to the maximum limit.
2. OAAR 2: All the elements listed are optional i.e. employees could choose to include any of
the elements either in the non-taxable or taxable category, subject to the limit of the OAAR
amount mentioned in the salary breakup letter.
All non-taxable components (except Meal Coupons and NPS) would be paid through payroll,
based on an appropriate claim submitted by employee.

6. Basket of Allowances & Reimbursements

Table 1 (below) contains allowances and the applicable limit as per each grade:

Table 1- Maximum Annual Allowance Limits

S.
*OAAR-1 Components Grade A Grade B Grade C Grade D Grade E & F
N
1 Remote Working Allowance 19,800 36,000 60,000 96,000 144,000
2 Books and Journals Allowance 24,000 36,000 36,000 36,000 36,000
3 Professional Pursuit Allowance 180,000 180,000 180,000 180,000 180,000
4 Conveyance Allowance 63,600 63,600 63,600 63,600 63,600
OAAR-1 Total 287,400 315,600 339,600 375,600 423,600

S.
*OAAR-2 Components Grade A Grade B Grade C Grade D Grade E & F
N
5 Leave Travel Assistance Allowance 60,000 60,000 90,000 90,000 120,000
6 Meal cards** 26,400 26,400 26,400 26,400 26,400
7 Vehicle & Driver Reimbursement 21,600 39,600 39,600 39,600 39,600
Not Not
8 National Pension Scheme** 10% of Basic 10% of Basic 10% of Basic
applicable applicable
156,000 + 156,000 + 186,000 +
OAAR-2 Total 108,000 126,000
NPS NPS NPS
495,600 + 531,600 609,600
Overall Total 395,400 441,600
NPS + NPS + NPS

*All figures are in INR per annum

** In case employee has opted for Meal Card and National Pension Scheme

Eligibility Cycle:
1. The OAAR Plan will work on a financial year basis i.e., April to March.
2. For joiners during the year, the OAAR amount will be prorated from the date of joining to
March 31st. Employees can declare their choice of elements based on job needs as well as
personal requirements and the limits under OAAR- on Excelity GlobalPayroll portal
website (https://ess.hgsbs.com/login?company=CGhttps://esscg.excelityglobal.com/) at
the time of joining or when the portal is made open as the case may be.
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 3. Declarations once made, can only be changed in the months of April/ May and October.
4. When the Payroll portal re-opens for declaration in October, any changes will be effective
1st October only. There can be no back-dated changes for declaration.

Declaration Submission Payout Tax Savings

OAAR1
Remote Working
Allowance
Books and Journals Can be
Declaration window Upto the bills
Allowance submitted Paid out monthly via
in April/ May and submitted as
Professional Pursuit throughout payroll
October applicable.
Allowance the year
Conveyance
Allowance
OAAR2
Paid in same month’s
Leave Travel
Can be payroll post bills are
Assistance
submitted submitted Upto the bills
Declaration window throughout submitted
in April/ May and the year Paid in same month’s
Vehicle & Driver
payroll post bills are
Reimbursement October
submitted
Upto the
No Bills Paid out monthly to
Meal cards monthly card
required the meal card
loading amount
Employee to open
Upto the
NPS CG corporate Paid as monthly
National Pension No Bills monthly
account and the contribution to NPS
Scheme required contribution to
window is open account
NPS account
throughout the year.

Tax Applicability

S. N OAAR-1 Components Old Tax Regime New Tax Regime

1 Remote Working Allowance Tax Free Reimbursement* Tax Free Reimbursement*

2 Books and Journals Allowance Tax Free Reimbursement* Taxable
3 Professional Pursuit Allowance Tax Free Reimbursement* Taxable
Tax Free Reimbursement only for Tax Free Reimbursement only for
4 Conveyance Allowance
differently abled* differently abled*

S. N OAAR-2 Components Old Tax Regime New Tax Regime

5 Leave Travel Assistance Tax Free Reimbursement* Taxable
6 Meal cards Exempt allowance Taxable
Vehicle & Driver
7 Tax Free Reimbursement* Tax Free Reimbursement*
Reimbursement
8 National Pension Scheme Upto 10% of basic Upto 10% of basic
*Subject to conditions stipulated under individual allowance definitions

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Details of individual elements under OAAR

1. Remote Working Allowance

Several of our employees are working from home regularly. Employees will be given this
allowance in lieu of costs incurred while working remotely, including but not limited to cost
towards internet, electricity, installation and maintenance of office infrastructure.

Below are two components:

1. Employees can claim landline, mobile bills and internet bills under this allowance which will
provide tax benefits.
2. Remote Infrastructure Assistance Allowance:
This allowance is also paid to defray the expenses incurred by employees for work related
white goods, electricity bill, water bill, WIFI router, desk, modems, external monitor, mouse,
extendable keypad, UPS for routers and desktops, table and chair etc. However, the
employees will not get tax benefits in respect of these expenses and these elements are
completely taxable.
Please note that any reimbursement directly claimed by an employee from the company
cannot be considered under this allowance.
a. If employee is claiming internet or mobile reimbursement from Capgemini:
 For mobile, landline and internet usage the annual limits are 36,000 i.e. 12,000
each.
 Any claim reimbursed via the organization reduces the eligibility proportionally.
Eg- If an employee claims mobile bill then total tax benefits limit will be revised
to 24,000 and if claims are made for both mobile and internet then the limit will
be revised to 12,000.
b. , then only the residual amount remaining post reimbursement; upto 36,000
annually can be submitted for tax benefit.
c. Maximum allowance provided as per grade given in Table 1;

Document Requirements:
1. The claim can include 1 landline, 1 mobile phone, 1 internet connection in the employee’s
name, supported by appropriate bills.
2. Payout would be limited to maximum of 80% of the bill amount or the limit for the grade
specified under this policy.
3. Mobile connection must be under the name of employee. Broadband and landline can be in
the name of employee, spouse, parents, or landlord, provided it is installed at the address
of the employee as per Capgemini’s records.
4. If cell phone is provided by Capgemini, then employee can claim reimbursement for only 1
landline and 1 internet connection up to Rs. 24,000 per annum as upper limit.

For more details, refer FAQ on OAAR

2. Books and Journals Allowance

 Professional magazines, books, journals and periodicals (digital or print) purchased for
official purposes, in relation to business activity and/or job profile of the employee will be
considered under tax saving allowance.
 Books of personal interest, pursuits and hobbies including newspapers and general
magazines, children textbooks etc. will not be considered under tax saving allowance.
Maximum allowance provided as per grade given in Table 1.

Document Requirements:

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 1. The employee must submit genuine and authentic original scanned invoice copy along with
the proof of payment.
2. The invoice must be in the employee’s name and shall specify details like name of the book
/ periodical etc, and the author (wherever applicable).
3. The employee must take an approval from N+1 (Grade C2 and above only) proving that
the books and journals purchased are in relation to the business activity/job profile of the
employee. Such e-mail approval must be attached along with the invoice copies/payment
proofs while claiming the tax benefit.

For more details, refer FAQ on Books and Journals.

3. Professional Pursuit Allowance

During employment, employees are expected to upskill themselves on a regular basis, to learn
new tools or skills that are necessary to perform their job role at Capgemini and to operate in
a competitive market. This component allows employee to claim reimbursement and defray
special expenses towards the fee paid to any educational institution for furthering their
professional and/ or technical knowledge in respect of the work they are doing for Capgemini,
provided the following conditions are satisfied:
1. Course being pursued leads to a formal certification through a certificate/ degree/ diploma,
after conclusion.
2. The institute/ university is registered and recognized as an educational body by UGC,
AICTE or a State/ Union government.
3. The pursued course (degree/ diploma/ certification) leads to enhancement of skills,
education, and knowledge of the employee, which he/she can substantiate as a tool for
career growth/ knowledge enhancement in respect of the work/job role they are
performing for the Capgemini.
4. Expenses incurred on literature from the university/ body from where the employee is
pursuing the course will be covered under this benefit; however, any membership fees paid
by an employee to the institute will not be covered.
5. Overseas online or offline certification courses are allowed, provided the course would
enhance employee’s professional / technical skills and would help them in improving
performance of their official duties.

Maximum allowance provided as per grade given in Table 1.

Document Requirements:
1. The employee must submit the genuine and authentic original scanned invoice copy
along with the proof of payment.
2. Employees should obtain mail approvals from their N+1(Grade C2 and above) before
claiming the allowance and such approval is to be attached along with the
invoice/payment proofs for claiming the tax benefit.
3. The invoice should be under the name of the employee.
For more details, refer FAQ on Professional Pursuit

4. Conveyance Allowance
This allowance is payable to employees to defray travel expense to and from employee’s
residence to workplace.
Important points to note:
1. Only employees who are orthopedically challenged or differently abled with mobility
issues of lower extremities only (as defined under the Indian tax law) can avail tax
exemption on conveyance allowance.
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 2. Employees who opt for the Capgemini’s bus facility, the recovery will happen from the
Conveyance Allowance.
3. Employees can choose only one option i.e., either the Conveyance Allowance or Vehicle
and Driver Reimbursement for company leased vehicle or self-owned car.

Maximum allowance provided as per grade given in Table 1.

Document Requirements:
Employees need to furnish the disability certificate in the portal for availing the tax exemption.
By virtue of Income-tax (Eighteenth Amendment) Rules, 2005, as per Notification No.
177/2005 [F.NO. 192/25/200-TPL], Dated 29-6-2005, there is a FORM NO. 10-IA which is a
Certificate of the medical authority for certifying ‘person with disability’, ‘severe disability’,
‘autism’, ‘cerebral palsy’ and ‘multiple disability’ for purposes of section 80DD and section 80U.
Please note:
a. Medical Authority means a Neurologist OR Civil Surgeon/Chief Medical Officer of
a Government hospital.
b. Certificate to be issued by Medical Authority is available as FORM NO. 10-IA on
Income Tax authority website.

For more details, refer FAQ on Conveyance Allowance.

5. Leave Travel Assistance

LTA is a special benefit offered to employees towards the cost they may incur while travelling
on leave. Employees can claim Leave Travel Assistance or LTA reimbursement towards
domestic travel for self and family members as per the provisions of section 10(5) of the
income tax act, 1961.
Maximum allowance provided as per grade given in Table 1.
Important points to note:
1. The tax exemption for LTA can be claimed twice in a block of four years. The current
block is from Jan 2018 to Dec 2021.i.e. one can claim for 2 journeys in a block of 4
years.
2. 5 days continuous Privilege Leave needs to be approved in LMS portal to be entitled to
LTA reimbursement.

Document Requirements:
1. Scanned copies of the original travel tickets need to be submitted for claiming LTA.
Submission of Boarding pass along with tickets is mandatory for air travel
2. Proof of leave. Ex- LMS leave approved screenshot.

For more details, refer FAQ on LTA

6. Meal Card
All permanent employees will be entitled to meal card for a fixed amount of INR 2,200 per
month which can be used towards purchase of food & non-alcoholic beverages at the outlets
affiliated with in the Capgemini’s premises.
Important points to note:
1. Sodexo Meal Pass Cards will be loaded for employees every month if they have opted
for it.
2. The Card will be distributed through the Sodexo Distribution POC’s.

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 3. If you wish to request for the physical card, Kindly write in to our Consumer Support
team on Cardsupport.in@sodexo.comconsumer@india.sodexo.com with the below
details

Employee code Email ID Complete address Contact no Capgemini Base location

         

4. Timeline for physical card delivery: The physical card will be delivered to you within
15-20 working days once you have shared your mailing address details with Sodexo.
Due to Covid restrictions, there may be a delay in card delivery, we request you to bear
with us.
5. Contact information and important links:
 Card Activation Portal – https://activation.sodexobrs.com
 KYC portal: https://kyc.sodexobrs.com/
 Sodexo-Zeta on Web– https://web.Sodexo-Sodexo-Zetaapps.in/
 Sodexo Corporate Website – https://www.sodexo.in

Level Point of Contact Details

L1 Customer Support 18001033030 / consumer@india.sodexo.com
L2 Vikas Tiwari vikas.tiwari@sodexo.com

L3 Rashmi Verma rashmi.verma@sodexo.com

L4 Jerry Anthony jerry.anthony@sodexo.com

6. Employees can reach out to capgeminisupport.in@sodexo.com for further queries.

For more details, refer FAQ on Meal Card.

7. Vehicle & Driver Reimbursement

I. For Self-Owned Vehicle

This component will allow the employee to claim reimbursement of fuel, insurance cost,
maintenance and driver salary expenses incurred on personal vehicle.
Important points to note:
1. Fuel bills and driver salary paid for future costs. Maintenance & insurance can be
claimed for year.
2. Maximum tax benefit for reimbursement will be calculated as per the below defined
limits:

More than 1600

Cubic Capacity of Engine Upto 1600 CC
CC
Fuel Reimbursement
INR 1,800 INR 2,400
(Per Month)
Driver Salary
Reimbursement INR 900 INR 900
(Per Month)

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 3. This benefit is applicable to employees who use their self-owned vehicle for both
personal and official purpose.
4. Such reimbursement is applicable for use of four-wheeler only. Reimbursement claim of
two-wheeler will not qualify for a vehicle reimbursement.
5. Employee who are availing the bus/cab facility or opted for conveyance allowance
cannot opt for vehicle reimbursement.
Maximum allowance provided as per grade given in Table 1.

Document Requirements:
To claim this amount employee would have to submit a scan copy of their vehicle registration
certificate once and thereafter the scanned copies of the original receipts of expenses for
claiming the car allowance and driver’s allowance.
For more details, refer FAQ on OAAR.

II. For Car Lease Vehicle

Please refer to the car lease policy for details.

8. National Pension Scheme

NPS is to assist employees to contribute towards a Pension scheme launched by Government
of India and avail associated tax benefits. It is a system in which the contributions are invested
under a mix of assets and the retirement corpus is determined on the returns of those assets.
Important points to note:
1. Permanent Employees in grade C and above can opt to contribute such percentage of
their basic salary towards NPS as provided under law.
2. NPS will be adjusted from your OAAR 2 (if part of Pay Letter)
3. Employer’s Contribution Investment up to 10% of Basic salary is exempted from
income tax, subject to the cap of INR 7,50,000 in terms of absolute value.

Please read the NPS guidebook for further details.

7. Process

Declaration under Non-taxable OAAR plan:

Declaration towards selection of components needs to be updated on Payroll portal Excelity Global’
s website https://ess.hgsbs.com/login?company=CGhttps://esscg.excelityglobal.com//).

Existing Employees:
This portal will be open for declaration twice a year in the months of April/ May and October.

New Joiners:
Once your Payroll (HGS) access is activated. You will receive mail from HGS team. Declaration
towards selection of components needs to be updated before 15 th of the subsequent month
post joining.

Process for claiming reimbursements

1. Under Non-Taxable OAAR - 1 plan

i. Components under OAAR – 1 that are allocated/opted by the employees will be paid
monthly as a taxable component.

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 ii. Upon submission of bills/proofs (if in line with the policies mentioned above), tax
benefit will be given/passed on to the employee.
iii. The option for submitting the proofs/bills to claim the tax benefit is available/open
through-out the year for the employees.
1. Employees should upload bills with respect to reimbursements, as applicable
before the 15th on Payroll portal (of https://ess.hgsbs.com/login?
company=CG)https://esscg.excelityglobal.com/ portal.
2. Any bills uploaded after the cutoff date of 15th will be considered in
successive month.

2. Under Non-Taxable OAAR - 2 plan

i. Allowance payout:
1. Allowance declared will be paid out as and when employee submits the
required bills.
2. The option for submitting the proofs/bills to claim the tax benefit is
available/open through-out the year for the employees.
a. Employees should upload bills with respect to reimbursements, as
applicable before the 15th on Payroll portalf
https://ess.hgsbs.com/login?company=CGhttps://esscg.excelityglobal
.com/ portal.
b. Any bills uploaded after the cutoff date of 15th will be considered in
successive month.

ii. Unclaimed allowance:

Incase employee fails to submit any bills towards their non-taxable amount till March; it will be
paid along with March salary after deduction of tax, as applicable.

Violation of Policy / Non-compliance Actions

Employee is completely responsible for the submission of authentic bills and no false claims
should be made through repeated/ duplicate/ fake, forged or fabricated bills or other
documents. Any submission of falsified information/documents for claims are considered as
omission by dishonesty, misappropriation and financial irregularity which clearly demonstrate
lack of integrity and will be treated as violation of code of ethics. Further, disciplinary
proceedings will be initiated against such employees.

Point of Contact
 For any queries please raise QRMS on Payroll(HGS) portalwrite to
info@excelityglobal.com.
 For any Escalations, please raise a ticket on India Talent Page -> Helpdesk and Support
-> ServiceCentralServiceCentral> India Payroll Support
Query Category-Income Tax query

Management Rights
Capgemini reserves the right to amend this policy document from time to time, without prior
notice.

Other Allowances and Reimbursements policy

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