·         Sec 10(7): - Any allowance or perquisite Received from Government or allowed by Government for posted outside India will be fully Exempt.

 

·      Sec 10(45): - Following Allowances and Perquisites Received by  Chairman/Member of UPSC is Fully Exempt from tax:

Ø  Value of rent free official residence

Ø  Value of conveyance facilities including transport allowance

Ø  Sumptuary allowance

Ø  Leave travel concession

 

·         Sec 10 (45): - Allowances Received by  Retired Chairman/Members of UPSC is  Exempt from Tax  subject to maximum of Rs. 14,000 per month for defraying the services of an orderly and for meeting expenses incurred towards secretarial assistant on contract basis.

 

·         Sec 16(ii): - Entertainment Allowance received by the Government employees is exempt from Tax Minimum of following: -

Ø  Rs 5,000

Ø  1/5th of salary excluding any allowance, benefits or other perquisite

Ø  Actual entertainment allowance

 

·         Sec 10(13A): - House Rent Allowance is Exempt from Tax minimum of following:-

Ø  Actual HRA Received

Ø  40% of Salary (50%, if house situated in Metro Cities Mumbai, Calcutta, Delhi or Chennai)

Ø  Rent paid minus 10% of salary

Note: - Salary = Basic + Dearness Allowance (if part of retirement benefit) + Turnover based Commission

·         Sec 10(14): -  Children Education Allowance Received by Individual Salaried Employee is exempted from Tax Up to Rs. 300 per month per child up to a maximum of 2 children.

 

·         Sec 10(14): - Hostel Expenditure Allowance Received by Individual Salaried Employee is exempted from Tax Up to Rs. 300 per month per child up to a maximum of 2 children.

 

·         Sec 10(14): -  Transport Allowance Received by Individual Salaried Employee from Employer to meet expenditure on commuting between place of residence and place of duty is exempted Up to Rs. 1,600 per month and in case of Blind, Deaf, Dumb and Handicapped Individual Salaried Employee Rs. 3,200 is exempted from Tax.

 

·         Sec 10 (14): - Allowance Received by an Individual Salaried employee working in any transport business to meet his personal expenditure during his duty performed in the course of running of such transport from one place to another place lower of Following is exempted from Tax: -

Ø  70% of such allowance

Ø  Rs. 10,000 per month.

Note:  Above Exemption will not be available if Employee Receiving Daily Transportation Allowances

·         Sec 10 (14): - Conveyance Allowance Received by Individual Salaried Employee to meet the expenditure on conveyance in performance of duties of an office is Exempt to the extent of expenditure incurred for official purposes.

 

·         Sec 10(14): - Any Allowance Received by Individual Salaried Employee to meet the cost of travel on tour or on transfer is Exempt from to the extent of expenditure incurred for official purposes.

 

·         Sec 10(14): - Daily Allowance Received by Individual Salaried Employee to meet the ordinary daily charges incurred by an employee on account of absence from his normal place of duty is Exempt from Tax to the extent of expenditure incurred for official purposes.

 

·         Sec 10 (14): - Helper/Assistant Allowance Received by Individual Salaried Employee Exempt from Tax to the extent of expenditure incurred for official purposes.

 

·         Sec 10 (14): - Research Allowance Received by Individual Salaried Employee for encouraging the academic research and other professional pursuits is Exempt from Tax to the extent of expenditure incurred for official purposes.

 

·         Sec 10 (14): - Uniform Allowance Received by Individual Salaried Employee is exempted from Tax to the extent of expenditure incurred for official purposes.

 

·         Sec 10 (14): - Special Compensatory Allowance in Hilly Areas is Received by Individual Salaried Employee is exempted from Tax to Extent of Rs, 300 to Rs. 7000 per month subject to certain conditions and locations.

 

·         Sec 10(14): - Border area allowance Remote Locality or allowance or Disturbed Area allowance or Difficult Area Allowance is Received by Individual Salaried Employee is exempted from Tax to Extent of Rs. 300 to Rs. 1300 Subject to certain conditions.

 

·         Sec 10 (14): - Tribal area allowance in Madhya Pradesh, Tamil Nadu,  Uttar Pradesh,  Karnataka,  Tripura, Assam, West Bengal,  Bihar,  Orissa Received by Individual Salaried Employee is exempted from Tax Up to Rs. 200 per month.

 

·         Sec 10 (14): - Compensatory Field Area Allowance Received by Individual Salaried Employee is exempted from Tax up to Rs. 2600 per month subject to certain conditions and locations.

Note: -If this exemption is taken, employee cannot claim any exemption in respect of border area allowance.

 

·         Sec 10 (14): - Compensatory Modified Area Allowance Received by Individual Salaried Employee is exempted from Tax up to Rs.1000 per month Subject to certain conditions and locations.

Note: - If this exemption is taken, employee cannot claim any exemption in respect of border area allowance.

 

·         Sec 10(14):  Counter Insurgency Allowance Received by Individual Members of Armed Forces is exempted from Tax up to Rs. 3900 per month subject to certain conditions and locations.  

Note: - if this exemption is taken, employee cannot claim any exemption in respect of border area allowance.

 

·         Sec 10 (14): - Underground Allowance Received by Individual Salaried Employee for working in uncongenial, unnatural climate in underground mines is exempted from Tax up to Rs. 800 per month.

·         Sec  10 (14): - High Altitude Allowance Received by  Members of Armed forces operating in high altitude areas is exempted from Tax up to Rs. 1060 per month for altitude of 9000 to 15000 feet and Up to Rs. 1600 per month for altitude above 15000 feet Subject to certain conditions and locations.

·         Sec 10 (14): -  Highly active field area allowance Received by Members of Armed Forces is exempted from Tax up to Rs. 4200 per month Subject to certain conditions and locations

 

·         Sec 10 (14): -Island Duty Allowance Received by Individual members of armed forces in Andaman and Nicobar and Lakshadweep group of Island is Exempted from Tax up Rs. 3250 per Month (Subject to certain conditions and locations.

 

·         Any Allowances Received by Judges of High Court/Supreme Court is Exempt subject to certain conditions.

 

·         Compensatory allowance received by an Individual Judge under article 222(2) of the Constitution is Fully Exempt.

 

·         Salary and allowances received by an Individual teacher /professor from SAARC member state Subject to certain conditions.

 

·         Allowances Received by the Employees of UNO is fully exempt.

 

·         City Compensatory Allowance Received by Individual Salaried Employee is Fully Taxable.

 

·         Fixed Medical Allowance Received by Individual Salaried Employee is Fully Taxable.

 

·         Tiffin/Lunch/Dinner/Refreshment Allowance Received by Individual Salaried Employee is Fully Taxable.

 

·         Servant Allowance Received by Individual Salaried Employee is Fully Taxable.

 

·         Dearness Allowance Received by Individual Salaried Employee is Fully Taxable.

 

·         Project Allowance Received by Individual Salaried Employee is Fully Taxable.

 

·         Overtime Allowance Received by Individual Salaried Employee is Fully Taxable.

 

·         Telephone Allowance Received by Individual Salaried Employee is Fully Taxable.

 

·         Holiday Allowance Received by Individual Salaried Employee is Fully Taxable.

 

·         Any Other Cash Allowance Received by Individual Salaried Employee is Fully Taxable.