How to Maintain Safe Distance from Income Tax Department?

In day to day transaction, we do some transaction which may attract Income Tax Department to serve you a notice ask about. But we always want to keep an Arm’s Length Distance from the Income Tax Department!

But the question here is HOW???

Here are lists of expenses/ investments, which at any point of time performed by you may invite undue attention from the Income tax Personnel.

1) Depositing Cash aggregating to Rs.10 Lacs p.a. in your Savings Bank Account.

2) Making Credit Card Payments of more than Rs.2 Lacs p.a.

3) Investment in Mutual Fund Units worth more than Rs. 2 Lacs.

4) Investment in Debentures/ Bonds, amounting more than Rs. 5 Lacs

5) Investment in Shares worth more than Rs. 1 Lakh.

6) Investment in Gold ETF worth more than Rs. 1 Lakh.

7) Investment in RBI Bonds worth more than Rs. 5 Lacs.

8) Purchase / Sale of any Immovable Property exceeding Rs.30 Lacs.

9) Receipt of Cash Payment exceeding Rs.2 Lacs for sale of any goods/ services.

10) Cash deposits or withdrawals aggregating to Rs 50 lakh or more in a financial year in one or more Current Account.

The Next question which may strike us is how does the Income tax Personnel get to know about all these activities.

To keep an eye on such high value transactions of the tax payers, the IT Department has developed a statement of financial transactions called Annual Information Report (AIR).

On the basis of this AIR, the department shortlists their targets and further sends them a notice.

What do you mean by a Annual Information Report (AIR).

Annual Information Return (AIR) of ‘high value financial transactions’ is required to be furnished under section 285 BA of the Income-tax Act, 1961 by ‘specified persons’ in respect of ‘specified transactions’ registered or recorded by them during the financial year.

Who provides the high value transaction information to prepare the AIR?

     Banks

       Mutual Fund Companies

     Companies Issuing Bonds/ Debentures

     Companies issuing shares

     Credit Card Companies

     Sub- registrar offices on real estate deals.

How can I trace my High Value Transactions reported under AIR?

The assessee can trace his/ her high value transactions reported under AIR, in their 26AS Report under AIR section. Any transaction of the assessee which has been categorized as a High Value Transaction will be reflected therein.

In the end, one last question which everyone might have. 

How to avoid receiving a notice from the IT department?

The most important step is to file your Income Tax returns on time and file them correctly.

Always re-check your Tax Credit with the 26AS statement.

Disclose all your Taxable as well as Exempt income under the right head.

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Wrong Filed Income Tax Return ! Revise It.

Normally when we file Income Tax Return (ITR) we try to keep full precautions to avoid any mistakes. But sometimes mistakes may happen. Like given wrong bank account details or left considering interest income received on saving bank account or claim wrong deduction or fill details under wrong head etc. But don't worry law gives us permission to revise it as per Section 139(5) of Income Tax Act.

Section 139(5) says if return filer get noticed that they have done mistakes in filing Income Tax Return then they can file revise return before completion of Assessment Year or Completion of Assessment Process. Remember Assessment Year is the next year for which ITR has been filed, for example If we have filed ITR for the financial year 2017-2018 then Assessment Year will be 2018-19.

What Is Revised Return?

Revised return is the refiling of Return of same Financial Year (F Y) in which we had made mistakes and now willing to correct it. In Revised Return you need to provide details as per Original Return.

Who Can File Revised Return?

Section 139(5) Income Tax Act gives permission to file Revised Return to all those Tax Payers who already have filed their Income Tax Return (ITR) before its due date. If you have filed late ITR means filed after its due date,  then you are not permitted to file Revised Return.

What is the Last Date To File Revised Return?

Earlier law permits to revise ITR within one year after completion of its Assessment Year it means assessee gets to year to file correct ITR, suppose you file ITR for F Y 2014-15 (A Y 2015-16) then you can file Revise Return within F Y 2016-17 (A Y 2017-18). But it is reduced last year. Now you have to file revised return within it Assessment Year.

How To File Revised Return?

You have give same details what you have already give in your Original ITR with its correction. But you have to select Revised Return U/s 139(5) in place of Original Return and need to provide Original Receipts Number along with filing date.

How Many Times You Can File Revise Return?

You can file Revise Return many times till you come with its correct details. But remember every-time you need to provide Original Return filing Receipts No and filing date. Don't Misuse It, assessing officer may ask you for doing this.

Most important every time you file Original Return or Revise Return you must need to complete verification process otherwise Income Tax Department will not accept it.

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Ease Your Tax Burden - Invest Now

An small investor (and tax payer) is one who manages his finances in such a way that the TDS is just equal to the tax he is supposed to pay for a particular year. You need to balance your needs based on need for liquidity in hand, investment returns and tax savings.

Every individual get more tensed in the month of February /March every year as in this month when they feels like they are being subject to extortion in form of Tax Deduction at Source or Advance Tax. And advised if not want to pay tax then go to invest in tax saving investments.

There could be moments when you feel that you have paid too much of taxes or too much of tax has been deducted from your salary. So to avoid such situation one should start planning their taxes from the beginning of the year itself so that you don’t end your year by paying more taxes.

When the employer deducts tax at source, more particularly, during last two months, as he would like to avoid defaults on his part, to save on interest and penalties, he shall consider all your investments which give you tax deductions or savings. While deducting tax at source, he shall consider investments such as in

Insurance premium,

Provident fund contributions,

National saving certificates,

Investment in pension plans,

ULIPs, Mediclaim etc.

Not only this, he shall also consider certain amounts spent by you on specified items and on your health such as 

Tuition fee of children (80C), 

Repayment of principal amount of home loan (80C),

Medical expenses (80D, 80DD), 

Expenses on specified illnesses (80DDB) (upto Rs. 40,000 and Rs. 60,000 for senior citizens (Rs 1,00,000 wef A.y 2019-20) and for super senior citizen Rs 80,000 from A.y 2016-17 to 2018-19 ( Rs 1,00,000 from A.y 2019-20)

Any amount of interest paid on educational loan (80E) etc.

Donations made to specified eligible funds etc are also eligible for allowance (100% or 50% depending upon type of donation.

Employer is also supposed to consider your house rent receipts but may ask for landlord’s PAN number also.

You can plan you taxes including TDS by integrating your tax planning and investment planning. The investments you make should also have a tax saving objective. If choosing between two options with similar returns and safety features, tax saving would play an important role. In such situations, investments like housing, provident funds, insurance, equity linked saving options etc. can give you some relax feeling.

However, if tax has been deducted in absence of investment or forget to inform the Deductor in time (like bank etc), and your tax liability does not arise as per your income details or tax deduction becomes more than actual tax liability, you should not worry much as it is now mandatory for tax payers to quote then bank account number and details in the return itself which makes refunds faster, safer and hassle free.

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Income Tax Slab Rates for the F Y 2017-18 (A Y 2018-19)

Income Tax rate are decided in budget in every year. Some time it come with some change in tax slab rate or some time some other levy of exemptions.

Here i come with Income Tax Slab Rates for the Financial Year 2017-18 (relevant to Assessment Year 2018-19)

INCOME TAX SLAB FOR INDIVIDUAL & HUF (Less Than 60 Years)

INCOME TAX SLAB	TAX RATE
Income Upto 2,50,000	NIL
Income from 2,50,000 - 5,00,000	5%
Income from 5,00,000 - 10,00,000	20%
Income above 10,00,000	30%

INCOME TAX SLAB FOR SENIOR CITIZEN ( 60 Year Or More but Less Than 80 Year)

INCOME TAX SLAB	TAX RATE
Income Upto 3,00,000	NIL
Income from 3,00,000 - 5,00,000	5%
Income from 5,00,000 - 10,00,000	20%
Income above 10,00,000	30%

INCOME TAX SLAB FOR SUPER SENIOR CITIZEN ( 80 Year Or More )

INCOME TAX SLAB	TAX RATE
Income Upto 5,00,000	NIL
Income from 5,00,000 - 10,00,000	20%
Income above 10,00,000	30%

Surcharge : 10% of Income Tax, where total income exceeds Rs.50, Lakh upto Rs.1 Crore.
                 : 15% of Income Tax, where the total income exceeds Rs.1 Crore.

Higher Education and Secondary Cess : 3% of Income Tax

# Rebate of Income Tax in case of Certain Individuals (Section 87A)

You can claim the rebate if you satisfy both the following conditions:

·   You are a Resident Individual; and

·  Your Total Income Less Deductions (under Section 80) is equal to or less than Rs 3,50,000. (Rs. 5,00,000 up to AY 2017-18)

The rebate is limited to Rs 2,500. (Rs. 5,000 till AY 2017-18) Which means if the total tax payable is lower than Rs 2,500, such lower amount of tax will be the rebate under section 87A. This rebate is applied on total tax before adding Education Cess.
# Penalty for Late Filing of Return [Section 234 F]

This change is one of the most notable changes done in Income Tax. There had been no late fee or penalty for delayed filing of Returns. Income Tax Department was quiet lenient in this regard.

If a person who is compulsorily required to file Income Tax Return (ITR) doesn’t file return on time then he is liable to a penalty as follows

Amount Of Penalty

For person with Total Income of more than Rs. 5,00,000

1. If ITR is filed after due date but on or before 31st December 5,000

2. If ITR is filed after 31st December but upto 31^st March 10,000

3. No Return Filing is possible after 31^st March of AY.

For person with Total Income of less  than Rs. 5,00,000 – Rs. 1,000 (up to Mar 31^st of AY)

Penalty is not applicable if ITR is filed before due date but verification is done after the due date.

In addition to the penalty interest under Section 234A is also levied on late filing of Income Tax Return.

# Insertion of Section 269ST

PROVISION OF SECTION 269ST	No person shall receive an amount of two lakh rupees or more— (a) in aggregate from a person in a day; or (b) in respect of a single transaction; or (c) in respect of transactions relating to one event or occasion from a person, otherwise than by an account payee cheque or an account payee bank draft or use of electronic clearing system through a bank account.
EXCEPTIONS	(a) Government; (b) any banking company, post office savings bank or co-operative bank; (c) transactions of the nature referred to in section 269SS; (d) Such other persons or class of persons or receipts, which the Central Government may, by notification in the Official Gazette, specify.
PENALTY FOR NON COMPLIANCE SECTION 271DA	If a person receives any sum in contravention of the provisions of section 269ST, he shall be liable to pay, by way of penalty, a sum equal to the amount of such receipt Any penalty imposable under sub-section (1) shall be imposed by the Joint Commissioner.

Section 269ST is introduced by Finance Act, 2017 with effect from 01.04.2017 and put a limit on Cash Transaction to put a check on Black Money and Tax Theft. Section is much talked about section as it provides penalty for any cash transaction above the value of Rs. 2 Lakh, equal to the Transaction amount.

Most of us would have heard this section as this was one of the highly discussed topic after the Budget Speech of 2017.

This section applies on the person receiving payment in excess of Rs. 2,00,000.

INCOME TAX SLAB FOR DOMESTIC COMPANIES

TURNOVER PARTICULARS	TAX RATE
Gross Turnover up to 50 Cr. in the Previous Year	25%
Gross Turnover Exceeding 50 Cr. in the Previous year	30%

In addition cess and surcharge is levied as follows :
Cess : 3% of Corporate tax
Surcharge : Taxable Income is more than 1 Cr. but less than 10 Cr. - 7%
                   Taxable income is more than 10 Cr. - 12%

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How To Check Form 26AS?

We are near to year end, now complete your exercise regarding tax saving investment  and income tax planning. People who pays us some times are liable to deduct TDS on our payment if crosses threshold limits as prescribed for deduction of TDS.

Before filing Income Tax Return it is necessary to obtain & match all income details. Now question is how to get Form 26AS?. What are the procedure to get form 26AS?

There are two procedure to obtain Form 26AS :

1) Directly login on TRACES Website by giving User ID And Password.

                         

2) Login on Income Tax eFiling Website. 

After login on efiling website go to My Account. Click on View Form 26AS (Tax Credit), user will be redirected to TDS-CPC Portal (i.e. TRACES website). Here you can view Form 26AS by selecting related Assessment Year from drop down menu. You will be asked to select report format type i.e. html, text, PDF then write captcha code in the given box and your statement are ready to view. If you have selected PDF format then you need password to open that downloaded file. 

Password to Open Form 26AS is Date of Birth/ Date of Incorporation (in ddmmyyyy format)

Form 26AS is act like a passbook. Following details have been provided in Form 26AS :

statement Advance tax, Self-Assessment Tax and Regular Assessment Tax paid by self·         Tax paid through Tax Deducted at Source (TDS) or  Tax Collected at Source (TCS) on behalf of users own presence·  Refund issued by the Department to self

·        Information received from various agencies on high value transaction carried by self.

This statement is presented yearly, which reflects the transaction of the concerned year. Any person/company who deduct TDS and deposited it against our PAN are reflects here with following details, 

1. Name of Deductor

2. TAN of Deductor

3. Total Amount Paid / Collected

4. Total Tax Deducted

5. Total TDS Deposited.

Form 26AS are divided mainly into Seven Parts i.e. A - G. These parts are :

a) Part A   : Details of Tax Deducted at Source

b) Part A1 :  Details of Tax Deducted at Source for Form 15G/ 15H

c) Part A2 : Details of Tax Deducted at Source on Sale of Immovable Property 

                 U/s.194IA/ TDS on rent  of Property U/s 194IB (For Seller /Landlord 

                 of Property)

d) Part B  : Details of Tax Collected at Source

e) Part C  : Details of Tax Paid (Other Than TDS or TCS) i.e. ADVANCE TAX

f) Part D   : Details of Paid Refund

g) Part E  : Details of AIR Transaction

h) Part F  : Details of Tax Deducted at Source on Sale of Immovable Property 

                U/s.194IA/ TDS on Rent  of Property U/s 194IB (For Buyer /Tenant

                 of Property)

i) Part G : TDS Defaults 

So, Analyse all details given in Form 26AS. If any discrepancy get noticed then contact the concerned person. Disclose all income atleast as per Form 26AS and take credit of all TDS/Advance tax given in Form 26AS.

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Allowances Or Exemptions Under Income from House Property A Y 2018-19

This blog is summarize for those taxpayers who declares their income under the head Income From House Property. Sometimes they forget to avail exemptions that can save their taxes. Here given some section wise info which is available exemptions to save tax to all assessee. So, take consider this exemption before filing your income tax return with the income head income from house property.

List of Allowances / Exemptions Under the head Income from house property for A. Y 2018-19 [F Y 2017-18]

Sl. No.	Section	Particulars	Limit of Exemptions	Exemption Available To
1	First proviso to  section 23(1)	Municipal tax levied by local authority and borne by owner in respect of house property	Amount actually paid during the relevant previous year	All assessee
1A	Section 23(5)	No Notional income for house property held as stock-in-trade	Any building and land appurtenant thereto held as stock-in-trade which is not let during the whole or any part of the previous year. Annual value of such property for the period upto one year from the end of the financial year in which the certificate of completion of construction of the property is obtained from the competent authority, shall be taken to be Nil.	All assessee
2	Section 24(a)	Standard Deduction	30% of the Annual Value (Gross Annual Value- Municipal Taxes)	All assessee
3	Section 24(b)	Interest incurred on borrowed capital	Interest on borrowed capital is allowed as deduction from income from house property as under: a) Up to Rs. 2,00,000 (if amount is borrowed for construction/acquisition of self-occupied house property on or after 01-04-1999), subject to certain other conditions b) Up to Rs. 30,000 (if amount is borrowed for reconstruction, repair or renewals of self-occupied   house property) c) Actual amount of interest paid or payable during the year (in case of let-out property) d) Pre-construction period interest is allowed in 5 annual equal installments (Subject to certain conditions)	All assessee
4	Section 25A	Standard Deduction from arrears of rent or unrealized rent received subsequently	30% of arrears of rent or unrealized rent.	All assessee

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Tax Benefits For Senior Citizens

In this blog we will discuss Income Tax Benefits to Senior Citizen available as per Income Tax Act. A person becomes senior citizen once he attains 60 years of age. Income Tax Department categories Senior citizen into two part. First Senior Citizen is with age bracket of 60 years to 79 years old and Second Senior Citizen is with age bracket of 80 years and above. 

There are some tax exemption available for senior citizen. From F. Y. 2011-12 qualifying age limit for senior citizen has been reduced from 65 years to 60 years and from F Y 2015-16 exemption limit for senior citizen has been enhance from 2,50,000/- to 3,00,000/-. 

A new category of Very Senior Citizen has been introduced in F Y. 2011-2012 (A Y 2012-13) with qualifying age 80 years and above with enhance exemption limit of Rs.5,00,000/-.

Senior Citizens and very senior citizen are granted a higher exemption limit as compared to normal tax payers.

EXEMPTION LIMITS

The Exemption Limit of a Senior Citizen for the financial year 2016-17 available to a Resident Senior Citizen is Rs.3,00,000/-. An Additional benefit of Rs.50,000/- in form of higher exemption limit available to Resident Senior Citizen in comparison to non-senior citizen.

The Exemption Limit of a Very Senior Citizen for the financial year 2016-17 available to a Resident Senior Citizen is Rs.5,00,000/-. An Additional benefit of Rs.250,000/- in form of higher exemption limit available to Resident Very Senior Citizen in comparison to non-senior citizen and Rs.2,00,000/- higher than Resident Senior Citizen.

TAX BENEFIT OF MEDICAL INSURANCE

From Financial Year 2015-17 (A Y 2016-17) a Resident Senior Citizen can claim higher deduction of Rs.30,000/- under section 80D on insurance premium paid for Medical Insurance. Earlier it was Rs.20,000/-

HIGHER DEDUCTION U/S 80DDB

Section 80DDB provides deduction to an assessee in case of expense on medical treatment of specified ailments. Deduction Limits is Rs.40,000/- for normal patient while deduction limit Rs.60,000/- for a senior citizen patient.

From A Y 2016-17 higher limit of deduction of upto Rs.80,000/- is allowable for the expenditure incurred in respect of the medical treatment of a Very Senior Citizen.

TDS EXEMPTION ON BANK DEPOSITS

Senior Citizen can claim exemption on the Tax Deducted At Source (TDS) on interest income earned on bank deposits. It can be done by submitting Form 15H  under Section  197 of the IT Act.

HIGHER INTEREST RATES

Senior Citizen receives higher interest rates on 5 Year Fixed Deposit which is eligible for deduction from total income under Section 80C.

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Allowances or Exemptions available For Salaried For A. Y. 2018-19

Every taxpayer who are liable to file Income Tax Return under the head Salary do knows very well that what are the allowances / exemptions available under the head salary that help them to save tax 

Here we have made an efforts to Summarize all Allowances /Exemptions available 
under the head Salaries of Tax Payers for AY 2018-19 [ F Y 2017-18]

Allowances / Exemptions Under the head Salaries :

Sl. No.	Section	Particulars	Limit of Exemptions	Exemption Available To
1	10(7)	Any allowance or perquisite paid or allowed by Government to its employees posted outside India	Entire Amount	Individual- Salaried Employee (being a citizen of India)
2	-	Allowances to Judges of High Court/Supreme Court	Exempt, subject to certain conditions	Individual – Judges of High Court/Supreme Court
3	-	Compensatory allowance received by a Judge under article 222(2) of the Constitution	Fully Exempt
4	-	Salary and allowances received by a teacher /professor from SAARC member state (Subject to certain conditions).	Fully Exempt
5	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
6	10(45)	Allowances to Retired Chairman/Members of UPSC	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.
7	-	Allowances paid by the UNO to its employees	Fully Exempt Individual – Government employee	Individual – Employees of UNO
8	16 (ii)	Entertainment Allowance received by the Government employees (Fully taxable in case of other employees)	Least of the following is exempt from tax: a) Rs 5,000 b) 1/5th of salary (excluding any allowance, benefits or other perquisite) c) Actual entertainment allowance received	Individual – Government Employee
9	10(13A)	House Rent Allowance (Sec. 10(13A) & Rule 2A)	Least of the following is exempt: a) Actual HRA Received b) 40% of Salary (50%, if house situated in Mumbai, Calcutta, Delhi or Madras) 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 10th October, 2013].	Individual – Salaried employee
10	10(14)	Children Education Allowance	Up to Rs. 100 per month per child up to a maximum of 2 children is exempt	Individual – Salaried employee
11	10(14)	Hostel Expenditure Allowance	Up to Rs. 300 per month per child up to a maximum of 2 children is exempt	Individual – Salaried employee
12	10(14)	Transport Allowance is granted to an employee to meet expenditure on commuting between place of residence and place of duty	Up to Rs. 1,600 per month (Rs. 3,200 per month for blind, deaf, dumb and handicapped employees) is exempt	Individual – Salaried employee
13	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	Individual – Salaried employee
14	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	Individual – Salaried employee
15	10(14)	Any Allowance to meet the cost of travel on tour or on transfer	Exempt to the extent of expenditure incurred for official purposes	Individual – Salaried employee
16	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	Individual – Salaried employee
17	10(14)	Helper/Assistant Allowance	Exempt to the extent of expenditure incurred for official purposes	Individual – Salaried employee
18	10(14)	Research Allowance granted for encouraging the academic research and other professional pursuits	Exempt to the extent of expenditure incurred for official purposes	Individual – Salaried employee
19	10(14)	Uniform Allowance	Exempt to the extent of expenditure incurred for official purpose	Individual – Salaried employee
20	10(14)	Special compensatory Allowance (Hilly Areas) (Subject to certain conditions and locations)	Amount exempt from tax varies from Rs. 300 per month to Rs. 7,000 per month	Individual – Salaried employee
21	Sec. 10(14) read with Rule 2BB	Border area allowance Remote Locality or allowance or Disturbed Area allowance or Difficult Area Allowance (Subject to certain conditions and locations)	Amount exempt from tax varies from Rs. 200 per month to Rs. 1,300 per month	Individual – Salaried employee
22	Sec. 10(14)	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	Individual – Salaried employee
23	Sec. 10(14)	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	Individual – Salaried employee
24	Sec. 10(14)	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	Individual – Salaried employee
25	Sec. 10(14)	Counter Insurgency 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. 3,900 per month	Individual – Salaried employee
26	Sec. 10(14)	Underground Allowance is granted to employees working in uncongenial, unnatural climate in underground mines	Up to Rs. 800 per month	Individual – Salaried employee
27	Sec. 10(14)	High Altitude Allowance is 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) b) Up to Rs. 1,600 per month (for altitude above 15,000 feet)	Individual – Members of Armed Forces
28	Sec. 10(14)	Highly active field area allowance is granted to members of armed forces (Subject to certain conditions and locations)	Up to Rs. 4,200 per month	Individual – Members of Armed Forces
29	Sec. 10(14)	Island Duty Allowance is 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	Individual – Members of Armed Forces
30	-	City Compensatory Allowance	Fully Taxable	Individual – Salaried employee
31	-	Fixed Medical Allowance	Fully Taxable	Individual – Salaried employee
32	-	Tiffin/Lunch/Dinner/ Refreshment Allowance	Fully Taxable	Individual – Salaried employee
33	-	Servant Allowance	Fully Taxable	Individual – Salaried employee
34	-	Dearness Allowance	Fully Taxable	Individual – Salaried employee
35	-	Project Allowance	Fully Taxable	Individual – Salaried employee
36	-	Overtime Allowance	Fully Taxable	Individual – Salaried employee
37	-	Telephone Allowance	Fully Taxable	Individual – Salaried employee
38	-	Holiday Allowance	Fully Taxable	Individual – Salaried employee
39	-	Any Other Cash Allowance	Fully Taxable	Individual – Salaried employee

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