(1) FULLY TAXABLE ALLOWANCE :

(A) ENTERINMENT ALLOWANCE FOR GOVT. EMPLOYEES. particular

Actual EA received LESS: Exempted u/s 16 (ii) Actual EA Received Maximum limit 20% of salary Whichever less is exempted Taxable EA

Amount

Amount
XXXX

xxx 5,000 xxx xxx

XXXX
XXXX

(B) TAXABLE ALLOWANCE particular

City Compenatory Allowance Medical Allowance Lunch Allowance Overtime Allowance Servent Allowance Family Allowance Tiffin Allowance Warden allowance , Water and Electricity Allowance Project allowance , Marriage Allowance

Amount

Amount
XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX

Taxable Allowance

(2) PARTLY TAXABLE ALLOWANCE

(A) HOUSE RENT ALLOWANCE:

Particulars
Actual HRA received LESS: Exempted u/s 16 (ii) : v 50% or 40% of salary v actual rent 10% of salary v Actual HRA Received whichever is less Exempted

Amount

Amount
XXXX

xxx xxx xxx xxx XXXX

Taxable HRA

xxxx

WORKING NOTE: (A) Salary means = basic salary + DA(service benefit ) + commission (B) 50% of salary is to considered in case of Delhi , Mumbai, kolkatta, Chennai,
and 40% in other place.

(B) Tribal area Allowance

Exempted Allowance upto amount 200 Per Month.

( C ) Children Education Allowance

Exempted Allowance upto amount 100 per month, per child for maximum two child only.

(D) Hostel Allowaance

Exempted Allowance upto amount 300 per month, for per child maximum for two children only.

( E ) Transport Allowance
Exempted Allowance upto amount 800 per month.

(3) PERQUISITES
(1) PERQUISITES TAXABLE FOR ALL [ SPECIFIED AND UNSPECIFIED ] (A) Government Employee full Exempted (B) Non- Government Employee. Valuation Reent Free Accommodation: (VRFA)
(A) House owned by the employee:

Population is more than 25 lakes The VRFA 15% OF SALARY Population is 10- 25 lakes The VRFA 10% of salary Population is 10 lakes The VRFA 7.5% of salary
(B)House not owned by the employee:

Population is 10-25 lakes The VRFA 15% of salary or Actual rent paid { whichever is less }
( C) VALUE FO FURNITURE:

10% of cost of furniture + Hire charge. (D) Concessional Accommodation: VRFA Rent charged by the employer WORKING NOTES: Salary means = Basic Salary + DA ( service benefit ) + commission + bonus +
All taxable allowance

(2) SEFCIFIED EMPLOYEE :

(A) Who holds more than 20% of share in the company ? (B) Who is director in the company ? ( C ) Who earns a monthly salary of 50,000 above ? Working Notes:
Salary Means: Basic Salary + DA + Commission + Bonus + All Taxable Allowdection Dedection Sec.16

(3) Movable Assets:

(A) Electroinc items like company deprecation chargeabe 50% WWDV. (B) Motor car or othe rcoveyance 20% WDV. ( C ) Any other assets 10% on Original cost. (D) Lap top is not taxable prequisites.

SPECIAL ITEMS :
(1) Provident Fund :
(A) Employee PF Contribution is exempted up to 12% of Salary (B) Interest credit to Pf 9.5%.

(2) Gratuity payment :

(A) Government employee fully exempted. (B) Non - Government employee. (1) Those coverned under the payment of gratuity act 1992 least of following:

Particulars
Actual Gratuity received LESS: Exempted:
Maximium limit

Amount

Amount
XXXX

1,000,000 xxx xxx xxx XXXX

Actual Gratuity Received Average month of salary X 15/26 Complied year service whichever is less Exempted

Taxable Gratuity

xxxx

WORKING NOTE: Salary means = Basic salary + DA

(2) Those not coverned under the paymeent of gratuity act least of the fully exempted.

Particulars
Actual Gratuity received LESS: Exempted:
Maximium limit

Amount

Amount
XXXX

1,000,000 xxx xxx xxx

Actual Gratuity Received 1/2 month of salary X 15/30 Complied year service whichever is less Exempted

XXXX

Taxable Gratuity

xxxx

WORKING NOTE: Salary means = Basic salary + DASB. (3) Pension And Commuted Pension
(A) Commuted pension is fully exempted of Govt. employee. (B) For not Govt. employee:
(1) In recepit of gratuity 1/3 of commuted pension is exempted. (2) Not in recepit of gratuity 1/2 of commuted pension is exempted.

(4) Leave Encashment:

(A) Government Employee is fully Exempted (B) Non Government Employee in Exempted.

Particulars
Actual Encashment received LESS: Exempted:
Maximium limit

Amount

Amount
XXXX

300,000
xxx xxx xxx xxx XXXX

Actual Encashmnet Received 10 month Average salary Leave credit whichever is less Exempted

Taxable Gratuity

xxxx

WORKING NOTE: Salary means = Basic salary + DA + Commission on Turnover.

INCOME TAX INCOME FROM HEAD SALARY COMMPUTION OF INCOME FROM SALARY Particulars
BASIC ITEMS : v basic salary/wage /remuneration/PAY v special pay v bonus[gratuitous/statutory] v fees v commission v Advance salary v Arrear salary ALLOWANCES: v Fully taxable allowance v Partly taxable/partly exempted allowance v Fully exempted allowance PERQUISITES: v Taxable for all [specified and unspecified] v Taxable for specified employees only v Exempted for all [specified and unspecified] SPECIAL ITEMS: v Gratuity v Pension v Leave encashment v Provident fund (1) GROESS SALARY DEDUCATION U/S 16: v Standard deduction [not applicable form AY2006-07] v Entertainment allowance v Professional/employment tax (2) INCOME FROM SALARY
xxx xxx xxx xxx xxx xxx xxx xxx xxx Nil xxx xxx

Amount

` Nil
xxx xxx xxx xxxx N.A

xxx xxx
xxx

xxxx

xxx

XXX NIL

XXX