DIRECT TAX ALLOWANCES

     

Allowances

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4.	10(13A)read with Rule 2A	House rent allowance	Least of the following is exempt: a) Actual HRA Received b) 40% of Salary (50%, if house situated in Mumbai, Calcutta, Delhi or Chennai) c) Rent paid minus 10% of salary * Salary = Basic + DA (if part of retirement benefit) + Turnover based Commission Note: i. Fully taxable, if HRA is received by an employee who is living in his own house or if he does not pay any rent ii. It is mandatory for employee to report PAN of the landlord to the employer if rent paid is more than Rs. 1,00,000 [Circular No. 08 /2013 dated 10-10-2013].
5.	10(14)	Children education allowance	Up to Rs. 100 per month per child up to a maximum of 2 children is exempt
6.	10(14)	Hostel expenditure allowance	Up to Rs. 300 per month per child up to a maximum of 2 children is exempt
7.	10(14)	Transport allowance granted to an employee to meet expenditure on commuting between place of residence and place of duty	Up to Rs. 1600 per month (Rs. 3200 per month for blind and handicapped employees) is exempt
8.	Sec. 10(14)	Allowance granted to an 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 provided employee is not in receipt of daily allowance.	Amount of exemption shall be lower of following: a) 70% of such allowance; or b) Rs. 10,000 per month.
9.	10(14)	Conveyance allowance granted to meet the expenditure on conveyance in performance of duties of an office	Exempt to the extent of expenditure incurred for official purposes
10.	10(14)	Travelling allowance to meet the cost of travel on tour or on transfer	Exempt to the extent of expenditure incurred for official purposes
11.	10(14)	Daily allowance to meet the ordinary daily charges incurred by an employee on account of absence from his normal place of duty	Exempt to the extent of expenditure incurred for official purposes
12.	10(14)	Helper/Assistant allowance	Exempt to the extent of expenditure incurred for official purposes
13.	10(14)	Research allowance granted for encouraging the academic research and other professional pursuits	Exempt to the extent of expenditure incurred for official purposes
14.	10(14)	Uniform allowance	Exempt to the extent of expenditure incurred for official purposes
15.	10(7)	Any allowance or perquisite paid or allowed by Government to its employees (an Indian citizen) posted outside India	Fully Exempt
16.	-	Allowances to Judges of High Court/Supreme Court (Subject to certain conditions)	Fully Exempt.
17.	10(45)	Following allowances and perquisites given to serving Chairman/Member of UPSC is exempt from tax: a) Value of rent free official residence b) Value of conveyance facilities including transport allowance c) Sumptuary allowance d) Leave travel concession	Fully Exempt
18.	-	Allowances paid by the UNO to its employees	Fully Exempt
19.	10(45)	Allowances to Retired Chairman/Members of UPSC (Subject to certain conditions)	Exempt 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.
20.	Sec. 10(14)read with Rule 2BB	Special compensatory Allowance (Hilly Areas) (Subject to certain conditions and locations)	Amount exempt from tax varies from Rs. 300 to Rs. 7,000 per month.
21.	Sec. 10(14)read with Rule 2BB	Border area, Remote Locality or Disturbed Area or Difficult Area Allowance (Subject to certain conditions and locations)	Amount exempt from tax varies from Rs. 200 to Rs. 1,300 per month.
22.	Sec. 10(14)read with Rule 2BB	Tribal area allowance in (a) Madhya Pradesh (b) Tamil Nadu (c) Uttar Pradesh (d) Karnataka (e) Tripura (f) Assam (g) West Bengal (h) Bihar (i) Orissa	Up to Rs. 200 per month is exempt
23.	Sec. 10(14)read with Rule 2BB	Compensatory Field Area Allowance. If this exemption is taken, employee cannot claim any exemption in respect of border area allowance (Subject to certain conditions and locations)	Up to Rs. 2,600 per month is exempt
24.	Sec. 10(14)read with Rule 2BB	Compensatory Modified Area Allowance. If this exemption is taken, employee cannot claim any exemption in respect of border area allowance (Subject to certain conditions and locations)	Up to Rs. 1,000 per month is exempt
25.	Sec. 10(14)read with Rule 2BB	Counter Insurgency Allowance granted to members of Armed Forces operating in areas away from their permanent locations. If this exemption is taken, employee cannot claim any exemption in respect of border area allowance (Subject to certain conditions and locations)	Up to Rs. 3,900 per month is exempt
26.	Sec. 10(14)read with Rule 2BB	Underground Allowance to employees working in uncongenial, unnatural climate in underground mines	Up to Rs. 800 per month is exempt
27.	Sec. 10(14)read with Rule 2BB	High Altitude Allowance granted to armed forces operating in high altitude areas (Subject to certain conditions and locations)	a) Up to Rs. 1,060 per month (for altitude of 9,000 to 15,000 feet) is exempt b) Up to Rs. 1,600 per month (for altitude above 15,000 feet) is exempt
28.	Sec. 10(14)read with Rule 2BB	Highly active field area allowance granted to members of armed forces (Subject to certain conditions and locations)	Up to Rs. 4,200 per month is exempt
29.	Sec. 10(14)read with Rule 2BB	Island Duty Allowance granted to members of armed forces in Andaman and Nicobar and Lakshadweep group of Island (Subject to certain conditions and locations)	Up to Rs. 3,250 per month is exempt
30.	10(14)	City Compensatory Allowance	Fully Taxable
31.	10(14)	Fixed Medical Allowance	Fully Taxable
32.	10(14)	Tiffin, Lunch, Dinner or Refreshment Allowance	Fully Taxable
33.	10(14)	Servant Allowance	Fully Taxable
34.	10(14)	Project Allowance	Fully Taxable
35.	10(14)	Overtime Allowance	Fully Taxable
36.	10(14)	Telephone Allowance	Fully Taxable
37.	10(14)	Holiday Allowance	Fully Taxable
38.	10(14)	Any Other Cash Allowance	Fully Taxable

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FORM NO. 15H

FORM NO. 15H

[See section 197A(1C) and rule 29C(1A)]

Declaration under section 197A(1C) of the Income‐tax Act, 1961 to be made by an individual who is of the age of sixty years or more claiming certain receipts without deduction of tax.

PART - I

1] Name of Assessee (Declareant) :

2] PAN :

3] Age:

4] Assessment Year 2013-14

5] Flat / Door / Block No. :

6] Name of Premises :

7] Assessed in which Ward / Circle

8] Road / Street / Lane :

9] Area / Locality :

10] AO Code (under whom assessed last time) :

Area Code

AO Type

Range Code

AO No.

11] Town / City / District :

12] State :

14] Last Assessment Year in which assessed :

2012-13

13] PIN

15] Email :

16] Telephone / Mobile No :

17] Present Ward / Circle

18] Name of Business / Occupation :

19] Present AO Code (if not same as above):

20] Jurisdictional Chief Comm. of Income Tax or Comm. of Income Tax (if not assessed to income tax earlier):

Area Code

AO Type

Range Code

AO No.

21] Estimated total income from the sources mentioned below:

(Please tick the relevant box)

Dividend from shares referred to in Schedule - I

Interest on securities referred to in Schedule - II

Interest on sums referred to in Schedule - III

a

Income from units referred to in Schedule - IV

The amt of withdrawal referred in sec-80CCA(2)(a) from National Savings Scheme referred to in Schedule - V

22] Estimated total income of the previous year in income mentioned in Col - 22 to be included :

23] Details of investments in respect of which the declaration is being made :

SCHEDULE‐I

(Details of shares, which stand in the name of the declarant and beneficially owned by him)

No. of

Class of shares & face

Total value

Distinctive numbers

Date on which the shares were acquired

shares

value of each share

of shares

of the shares

by the declarant (dd/mm/yyyy)

SCHEDULE‐II

(Details of the securities held in the name of declarant and beneficially owned by him)

Description of

Number of

Amount of

Date(s) of

Date(s) on which the securitues were

securities

securities

securities

securities (dd/mm/yyyy)

acquired by declarant (dd/mm/yyyy)

SCHEDULE‐III

(Details of the sums given by the declarant on interest)

Name and address of the person to

Amount of sums

Date on which sums given

Period for which sums

Rate of

whom the sums are given on interest

given on interest

on Interest (dd/mm/yyyy)

were given on interest

interest

SCHEDULE‐ IV

(Details of the mutual fund units held in the name of declarant and beneficially owned by him)

Name and address of the

Number of

Class of units & face

Distinctive number

Income in

mutual fund

units

value of each unit

of units

respect of units

SCHEDULE‐V

(Details of the withdrawal made from National Savings Scheme)

Particulars of the Post Office where the account under the

Date on which the account

The amount of withdrawal

National Savings Scheme is maintained and the account number

was opened (dd/mm/yyyy)

from the account

x

Signature of the Declarant

Declaration / Verification

I .................................................... do hereby declare that I am resident in India within the meaning of section 6 of the Income –tax Act, 1961. I also, hereby declare that to the best of knowledge and belief what is stated above is correct, complete and truly stated and that the incomes referred to in this form are not includible in the total income of any other person u/ss 60 to 64 of the Income Tax Act, 1961. I further, declare that tax on my estimated total income, including *income / incomes referred to in column 21 above, computed in accordance with provisions of the Income Tax Act 1961, for the previous year ending on 31.03.20... relevant to the assessment year 2013-14 will be nil.

Place :

x

Date  :

Signature of the Declarant

PART - II

[For use by the person to whom the declaration is furnished]

1] Name of the person responsible for paying the income referred to in Column 21 of Part I :

2] PAN of the person indicated in Column 1 of Part II

3] Complete Address :

4] TAN of the person indicated in

Column 1 of Part II :

5] Email :

6] Telephone / Mobile No :

7] Status :

8] Date on which Declaration is Furnished (dd/mm/yyyy) :

9] Period in respect of which the dividend has been declared or the income has been paid / credited :

10] Amount of income paid :

11] Date on which the income has been paid / credited (dd/mm/yyyy) :

12] Date of declaration, distribution or payment of dividend/withdrawal under the National Savings Scheme(dd/mm/yyyy) :

13] Account Number of National Saving Scheme from which withdrawal has been made :

Forwarded to the Chief Commissioner or Commissioner of Income‐tax  ____________

Place :

Signature of the person responsible for paying the

Date  :

income referred to in Column 21 of Part I

Thank You