Comments regarding removal or continuance of exemptions and deductions under the Income Tax Act, 1961
| Sl. No | Section | Nature of benefit | Eligible taxpayers |
| 1. | 10(1) | Agricultural income. | Any assessee |
| 2. | 10(2) | Amount received out of family income, or in case of impartible estate, amount received out of income of family estate. | Individual as member of HUF |
| 3. | 10(2A) | Partner's share in total income of firm. | Partner of a firm separately assessed as such. |
| 4. | 10(4)(ii) | Interest received on non-resident (External) account in any bank in India. | Individual resident outside India or who has been permitted to maintain the said account by RBI |
| 5. | 10(5) | Leave travel concession or assistance received or due (limited to amount actually spent). | Individual (Salaried employee) |
| 6. | 10(6)(ii) | Remuneration received by specified diplomats and their staff. | Individual (Non-citizen of India) |
| 7. | 10(6)(vi) | Remuneration received as employees of foreign enterprise not engaged in trade or business in India for services rendered during stay in India not exceeding 90 days and such remuneration being not deductible from the income of the employer chargeable under the Act. | Individual (Non-Citizen salaried employee) |
| 8. | 10(6)(viii) | Remuneration received for services rendered in connection with employment on a foreign ship where total stay in India is upto 90 days | Individual (Non-citizen, non-resident salaried employee). |
| 9. | 10(6)(xi) | Remuneration received as employee of foreign Government in connection with his training in government offices/statutory undertakings etc. | Individual-salaried employee (foreign citizen) |
| 10. | 10(6BB) | Exemption for tax paid on behalf of a foreign government or foreign enterprise by an Indian company engaged in the business of operation of aircraft in respect of lease payment made under a lease agreement entered into between 1.4.1997 and 31.3.1999 or after 31.3.2007. | Govt. of foreign state or a foreign enterprise. |
| 11. | 10(6C) | Income by way of royalty or fees for technical services for services provided in India or abroad in projects connected with security of India pursuant to agreement with Central Government. | Notified foreign company |
| 12. | 10(7) | Foreign allowances or perquisites paid or allowed by Government to its employees for rendering service outside India | Individual-salaried employee (Indian citizen) |
| 13. | 10(8) | i) Remuneration received from foreign government for services rendered in India in connection with any co-operative technical assistance programmes and projects in accordance with agreement entered into by Central Government and foreign Government. ii) Any other income accruing or arising outside India which is subject to tax in that foreign country. | Individual |
| 14. | 10(8A) | Remuneration received by consultant (agreement relating to his engagement must be approved) out of funds made available to an international organization (agency) under a technical assistance grant agreement between that agency and the Govt. of a foreign State. | Non-Indian citizen/Indian citizen who is not ordinarily resident in India/non-resident, engaged by the agency for rendering technical services in India |
| 15. | 10(8B) | i) Remuneration received by an employee of the consultant referred to in section 10(8A). ii) Any other income accruing or arising outside India which is subject to tax in that foreign country. | Non-resident citizen/Indian citizen who is not ordinarily resident in India. |
| 16. | 10(9) | Income of any member of family of any individual {referred to in section 10(8) or 10(8A) or 10(8B)} which accrues or arises outside India and is not deemed to accrue or arise in India and which is subject to tax in that foreign country. | Individual |
| 17. | 10(10)(i) | Death-cum-retirement gratuity received by Government servants. | Individual (Salaried employee) |
| 18. | 10(10)(ii) | Gratuity received under the Payment of Gratuity Act, 1972 (maximum Rs.3,50,000). | Individual (Salaried employee) |
| 19. | 10(10)(iii) | Any other gratuity received by employee/legal heirs on retirement, termination of services, death, etc. limited to half month's salary for each year of completed service (subject to certain conditions) {maximum limit Rs.3,50,000}. | Individual (Salaried employee) |
| 20. | 10(10A) | Payment in commutation of pension received from government or private employer (subject to certain limits)/LIC Fund u/s 10(23AAB). | Individual (Salaried employee) |
| 21. | 10(10AA) | Amounts by way of encashment of unutilized earned leave on retirement limited to 10 months salary. | Individual (Salaried employee) |
| 22. | 10(10B) | Retrenchment compensation {Maximum limit is Rs 5,00,000}. | Individual-workman |
| 23. | 10(10BB) | Payments made under Bhopal Gas Leak Disaster (Processing of Claims) Act, 1985 and any scheme framed there under. | Any assessee |
| 24. | 10(10C) | Payment received (not exceeding Rs.5,00,000) on voluntary retirement in accordance with prescribed guidelines. | Individual-Employees of company, statutory authority, local authority, co-operative society, university, Indian Institute of Technology, notified institute of management, notified institutions and also State Govt., Central Govt. employees. |
| 25. | 10(10CC) | The amount paid by the employer as tax on perquisite, not provided for by way of monetary payment, on behalf of the employee. | Individual (Salaried employee) |
| 26. | 10(10D) | Any sum including bonus received under a life insurance policy [other than single premium policies, keyman insurance policy and policy under section 80DD(3) ]. | Any assessee |
| 27. | 10(11) | Payment from public provident fund/statutory provident fund/notified provident fund. | Individual/HUF |
| 28. | 10(12) | Accumulated balance payable to an employee participating in recognized provident fund | Individual (Salaried employee) |
| 29. | 10(13) | Payment from an approved superannuation fund in specified circumstances. | Individual |
| 30. | 10(13A) | House rent allowance (subject to certain limits). | Individual (Salaried employee) |
| 31. | 10(14) | Prescribed allowances or benefits such as hard duty allowance, counter insurgency allowance etc. specifically granted to meet expenses wholly, necessarily and exclusively incurred in the performance of official duties (limited to amount of expenses actually incurred). | Individual (Salaried employee) |
| 32. | 10(15)(i) | Interest, premium on redemption, or other payment on notified securities, bonds, certificates, and deposits, etc. | All assessees |
| 33. | 10(15)(iic) | Interest on notified Relief Bonds | Individual/ HUF |
| 34. | 10(15)(iii) | Interest on securities | Issue Department of Central Bank of Ceylon |
| 35. | 10(15)(iiia) | Interest on deposits made with scheduled banks with the approval of RBI | Foreign banks performing central banking functions |
| 36. | 10(15)(iiib) | Interest payable to Nordic Investment Bank on loan to a project approved by Central Government in terms of MOU dated 25.11.86 | Nordic Investment Bank |
| 37. | 10(15)(iiic) | Interest payable to European Investment Bank on loan granted in pursuance of agreement dated 25.11.93 by the Central Government with the said Bank | European Investment Bank |
| 38. | 10(15)(iv)(fa) | Interest payable by scheduled bank on deposits in foreign currency where acceptance of such deposits by bank is approved by RBI. | Non-resident or a person who is not ordinarily resident in India |
| 39. | 10(15)(iv)(h) | Interest received from any public sector company in respect of notified bonds or debentures and subject to certain conditions. | All Assessees |
| 40. | 10(15)(iv)(i) | Interest received from Government on deposits in notified scheme out of moneys due on account of retirement. | Individual-Employees of Central Government /State Government/public sector company |
| 41. | 10(15)(v) | Interest on certain securities or interest on notified deposits held with RBI or with a public sector bank for benefit of victims of Bhopal Gas Leak Disaster. | Welfare Commissioner, Bhopal Gas Victims |
| 42. | 10(15)(vi) | Interest on Gold Deposit Bonds issued under the Gold Deposit Scheme, 1999 notified by Central Government. | All Assessees |
| 43. | 10(15)(vii) | Interest on notified bonds issued by a Local Authority. | All assessees |
| 44. | 10(15) (viii) | Interest income on deposits made after 31.3.2005 with offshore banking units. | A non-resident or not ordinarily resident |
| 45. | 10(15A) | Any payment made by an Indian company, engaged in business of operation of aircraft, to acquire an aircraft or an aircraft engine on lease from the Government of a foreign State or a foreign enterprise(in respect of lease agreements entered into before 01.04.2007. | Foreign State/Foreign Enterprise |
| 46. | 10(16) | Scholarship for education | Individual |
| 47. | 10(17)(i) | Daily allowance | Individual-Member of Parliament/State Legislature/Committee thereof |
| 48. | 10(17)(ii) | Any allowance received by MP under Members of Parliament (Constituency Allowance) Rules, 1986. | Member of Parliament |
| 49. | 10(17)(iii) | Constituency Allowance received by MLAs. | Individual Member of State Legislature |
| 50. | 10(17A)(i) | Amount received in pursuance of award instituted in public interest by Central/State Government or approved award instituted by other body. | Any Assessee |
| 51. | 10(17A)(ii) | Reward received from Central/State Government for approved purposes in public interest. | Any assessee |
| 52. | 10(18) | Pension received by an individual who has won specified/notified gallantry awards and family pension received by any family member of such individual. | Individual - Central or State Government Servant or his family member |
| 53. | 10(19) | Family pension of a member of the armed forces/paramilitary forces in case of death in the course of operational duties subject to conditions | Widow or children or nominated heirs of a member of Armed Forces/Para-military Forces |
| 54. | 10(19A) | Notional annual value of any one palace occupied by former Ruler. | Individual |
| 55. | 10(20) | Specified income of |
To continue reading
Request your trial