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StaffCorner

21 Jun, 2021 09:58 PM

16. Item No. NC-47/ 7I 19 - Exempt transport / running allowance from income-tax.

16. Item No. NC-47/ 7I 19 - Exempt transport / running allowance from income-tax.

 

The Transport Allowance up to Rs.800/ – pm. has been exempted and is not treated as Taxable Income. Up to 31.12.2005 (in pre-revised pay scale) Transport Allowance was Rs.800/ – and was fully exempted from Income Tax.

The revised Transport Allowance now ranges up to Rs.3200/ – plus Dearness Allowance thereon.

Keeping the above intention in view, it is proposed that transport allowance up to Rs.3200/ – pm + Dearness Allowance thereon may not be treated as taxable income and be exempted from Income Tax.




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