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Income Tax: Allowances available to different categories of Tax Payers and limit of exemption [AY 2019-20]

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Income Tax: Allowances available to different categories of Tax Payers and limit of exemption [AY 2019-20]
Income Tax
Allowances available to different categories of Tax Payers
[AY 2019-20]



S. No. Section Particulars Limit of exemption Exemption available to
A. Under the head Salaries
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 Individual – Judges
4. – Salary and allowances received by a teacher
/professor from SAARC member state (Subject to certain conditions).		 Fully Exempt Individual – Teacher from SAARC member
State
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 Individual – Chairman/Member of UPSC
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.		 Individual – Retired Chairman/Member of
UPSC
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 granted to an employee
to meet expenditure for the purpose of commuting between place of
residence and place of duty		 Rs. 3,200 per month granted to an employee,
who is blind or deaf and dumb or orthopedically handicapped with
disability of lower extremities		 Individual – Salaried Employee
13. 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.

 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
1. 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
2. 10(14) Uniform Allowance Exempt to the extent of expenditure
incurred for official purposes		 Individual – Salaried employee
3. Sec. 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
4. 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
5. 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
6. 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
7. 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
8. 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 – Members of Armed Forces
9. 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
10. 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
11. 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
12. 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
13. – City Compensatory Allowance Fully Taxable Individual – Salaried employee
14. – Fixed Medical Allowance Fully Taxable Individual – Salaried employee
15. – Tiffin/Lunch/Dinner/Refreshment Allowance Fully Taxable Individual – Salaried employee
16. – Servant Allowance Fully Taxable Individual – Salaried employee
17. – Dearness Allowance Fully Taxable Individual – Salaried employee
18. – Project Allowance Fully Taxable Individual – Salaried employee
19. – Overtime Allowance Fully Taxable Individual – Salaried employee
20. – Telephone Allowance Fully Taxable Individual – Salaried employee
21. – Holiday Allowance Fully Taxable Individual – Salaried employee
22. – Any Other Cash Allowance Fully Taxable Individual – Salaried employee
22. – Any Other Cash Allowance Fully Taxable Individual – Salaried employee
23. 16(ia) Standard Deduction Rs. 40,000 or the amount of salary, whichever is lower Individual – Salaried Employee
B. Under the head Income from house
property
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. 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. 24(a) Standard Deduction 30% of the Annual Value (Gross Annual
Value- Municipal Taxes)		 All assessee
3. 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
C. Under the head Profits and gains
from business or profession
1. 32(1) Depreciation in respect of:
i) Tangible
assets (buildings, machinery, plant or furniture);

ii) Intangible Assets (know-how, patents, copyrights, trademarks,
licenses, franchises, or any other business or commercial rights of
similar nature)

 Depreciation shall be allowed at prescribed
percentage on actual cost of an asset.
However, if asset is acquired
and put to use for less than 180 days during the previous year, the
deduction shall be restricted to 50% of depreciation computed above.		 Taxpayer engaged in business of generation
or generation and distribution of power.
Note:

Taxpayer engaged in business of generation or generation and
distribution of power have the option to claim depreciation either on
straight line basis or written down value basis.
2. 32(1) Depreciation in respect of:
i) Tangible
assets (buildings, machinery, plant or furniture);

ii) Intangible Assets (know-how, patents, copyrights, trademarks,
licenses, franchises, or any other business or commercial rights of
similar nature)

 Depreciation shall be allowed at prescribed
percentage on written down value of each block of asset (as per WDV
method).
However, if asset is acquired and put to use for less than
180 days during the previous year, the deduction shall be restricted to
50% of depreciation computed above.		 All assessees
3. 32(1)(iia) Additional depreciation on new plant and
machinery (other than ships, aircraft, office appliances, second hand
plant or machinery, etc.) shall be allowed subject to certain
conditions.		 Additional depreciation to be allowed at 20
% of actual cost of new plant and machinery.
However, if an asset is
acquired and put to use for less than 180 days during the previous year,
50% of additional depreciation shall be allowed in year of acquisition
and balance 50% would be allowed in the next year.		 All taxpayers engaged in:
a) manufacture
or production of any article or thing; or

b) generation or transmission or distribution of power (if taxpayer
not claiming depreciation on basis of straight line method)
4. Proviso to Section 32(1)(iia) Additional depreciation on new plant and
machinery (other than ships, aircraft, vehicle, office appliances,
second hand plant or machinery, etc.) shall be allowed subject to
certain conditions.		 Additional depreciation to be allowed at 35
% of actual cost of new plant and machinery.
However, if an asset is
acquired and put to use for less than one 180 days during the previous
year, 50% of additional depreciation shall be allowed in year of
acquisition and balance 50% in next year.		 All taxpayers which set up an undertaking
or enterprise for production or manufacture of any article or thing in
any notified backward area in the state of Andhra Pradesh, Bihar,
Telangana or West Bengal.
Note:

1. Manufacturing unit should be set-up on or after April 1, 2015.

2. New plant and machinery should be acquired and installed on or
after April 1, 2015 but before April 1, 2020.
5. 32AC Deduction under section 32AC is available
if actual cost of new plant and machinery acquired and installed by a
manufacturing company after 31-3-2013 but before 1-4-2015 exceeds Rs.
25/100 Crores, as the case may be.(Subject to certain conditions)		 15% of actual cost of new asset acquired
and installed		 Company engaged in business or
manufacturing or production of any article or thing
6. 32AD Investment allowance for investment in new
plant and machinery (other than ships, aircraft, vehicle, office
appliances, second hand plant or machinery, etc.) if manufacturing unit
is set-up in notified backward area in the State of Andhra Pradesh,
Bihar, Telangana or West Bengal
(subject to certain conditions)		 Investment allowance to be allowed at 15 %
of actual cost of new plant and machinery in the year in which such
asset is installed.		 All taxpayers who acquire new plant and
machinery for purpose of setting-up manufacturing unit in notified
backward areas in the State of Andhra Pradesh, Bihar, Telangana or West
Bengal
Note:

1) New asset should be acquired and installed on or after April 1,
2015 but before April 1, 2020.

2) Manufacturing unit should be set-up on or after April 1, 2015.

3) Deduction shall be allowed under Section 32AD in addition to
deduction under Section 32AC if assessee fulfils the specified
conditions.
7. 33AB Amount deposited in Tea/Coffee/Rubber
Development Account by assessee engaged in business of growing and
manufacturing tea/Coffee/Rubber in India		 Deduction shall be lower of following:
a)
Amount deposited in account with National Bank for Agricultural and
Rural Development (NABARD) or in Deposit Account of Tea Board, Coffee
Board or Rubber Board in accordance with approved scheme; or

b) 40% of profits from such business before making any deduction
under section 33AB and before adjusting any brought forward loss.

  (Subject to certain conditions)

 All assessee engaged in business of growing
and manufacturing tea/Coffee/Rubber
8. 33ABA Amount deposited in Special Account with
SBI/Site Restoration Account by assessee carrying on business of
prospecting for, or extraction or production of, petroleum or natural
gas or both in India		 Deduction shall be lower of following:
a)
Amount deposited in Special Account with SBI/Site Restoration Account;
or

b) 20% of profits from such business before making any deduction
under section 33ABA and before adjusting any brought forward loss.

(Subject to certain conditions)

 All assessee engaged in business of
prospecting for, or extraction or production of, petroleum or natural
gas or both in India
9. 35(1)(i) Revenue expenditure on scientific research
pertaining to business of assessee is allowed as deduction (Subject to
certain conditions).		 Entire amount incurred on scientific
research is allowed as deduction.
Expenditure on scientific research
within 3 years before commencement of business (in the nature of
purchase of materials and salary of employees other than perquisite) is
allowed as deduction in the year of commencement of business to the
extent certified by prescribed authority.		 All assessee
10. 35(1)(ii) Contribution to approved research
association, university, college or other institution to be used for
scientific research shall be allowed as deduction (Subject to certain
conditions)		 175% of sum paid to such association,
university, college, or other institution is allowed as deduction.
150% of sum paid to such association, university, college or other
institution is allowed as deduction (applicable from AY 2018-19)

Note:- From the AY beginning on or after the 1st day of
April, 2021, the deduction shall be equal to the sum so paid.

 All assessee
11. 35(1)(iia) Contribution to an approved company
registered in India to be used for the purpose of scientific research is
allowed as deduction (Subject to certain conditions)		 125% of sum paid to the company is allowed
as deduction
Entire sum paid to the company is allowed as deduction
(applicable from AY 2018-19)		 All assessee
12. 35(1)(iii) Contribution to approved research
association, university, college or other institution with objects of
undertaking statistical research or research in social sciences shall be
allowed as deduction (Subject to certain conditions)		 125% of sum paid to such association,
university, college, or other institution is allowed as deduction
Entire sum paid to such association, university, college or other
institution is allowed as deduction (applicable from AY 2018-19)

 All assessee
13. 35(1)(iv) read with 35(2) Capital expenditure incurred during the
year on scientific research relating to the business carried on by the
assessee is allowed as deduction (Subject to certain conditions)		 Entire capital expenditure incurred on
scientific research is allowed as deduction.
Capital expenditure
incurred within 3 years before commencement of business is allowed as
deduction in the year of commencement of business.

Note:

 i. Capital expenditure excludes land and any interest in land;

 ii. No depreciation shall be allowed on such assets.

 All assessee
14. 35(2AA) Payment to a National Laboratory or
University or an Indian Institute of Technology or a specified person is
allowed as deduction.
The payment should be made with the specified
direction that the sum shall be used in a scientific research undertaken
under an approved programme.		 200% of payment is allowed as deduction
(Subject to certain conditions).
150% of payment is allowed as
deduction (applicable from AY 2018-19)

Note:- From the AY beginning on or after the 1st day of
April, 2021, the deduction shall be equal to the sum so paid.

 All assessee
15. 35(2AB) Any expenditure incurred by a company on
scientific research (including capital expenditure other than on land
and building) on in-house scientific research and development facilities
as approved by the prescribed authorities shall be allowed as deduction
(Subject to certain conditions).
Expenditure on scientific research in
relation to Drug and Pharmaceuticals shall include expenses incurred on
clinical trials, obtaining approvals from authorities and for filing an
application for patent.		 200% of expenditure so incurred shall be as
deduction.
150% of expenditure so incurred shall be allowed as
deduction (applicable from AY 2018-19)

Note:

  i.  Deduction shall be allowed if company enters into an agreement
with the prescribed authority for co-operation in such research and
development and fulfils conditions with regard to maintenance of
accounts and audit thereof and furnishing of reports in such manner as
may be prescribed.

  ii. From the AY beginning on or after the 1st day of
April, 2021, the deduction shall be equal to the expenditure so
incurred.

 Company engaged in business of
bio-technology or in any business of manufacturing or production of
eligible articles or things
16. 35AD Deduction in respect of expenditure on
specified businesses, as under:
a) Setting up and operating a cold
chain facility

b) Setting up and operating a warehousing facility for storage of
agricultural produce

c) Building and operating, anywhere in India, a hospital with at
least 100 beds for patients

d) Developing and building a housing project under a notified scheme
for affordable housing

e) Production of fertilizer in India

(Subject to certain conditions)

 150% of capital expenditure incurred for
the purpose of business is allowed as deduction provided the specified
business has commenced its operation on or after 01-04-2012.
100% of
capital expenditure will be allowed to be deducted from the assessment
year 2018-19 onwards

Note: If such specified businesses commence operations on or
before 31-03-2012 but after prescribed dates, deduction shall be limited
to 100% of capital expenditure.

Note: No deduction of any capital expenditure above Rs 10,000 shall
be allowed where such expenditure is incurred in cash.

 All assessee
17. 35AD Deduction in respect of expenditure on
specified businesses, as under:
a) Laying and operating a
cross-country natural gas or crude or petroleum oil pipeline network for
distribution, including storage facilities being an integral part of
such network;

b) Building and operating, anywhere in India, a hotel of two-star or
above category;

c) Developing and building a housing project under a scheme for slum
redevelopment or rehabilitation

d) Setting up and operating an inland container depot or a container
freight station

e) Bee-keeping and production of honey and beeswax

f) Setting up and operating a warehousing facility for storage of
sugar

g) Laying and operating a slurry pipeline for the transportation of
iron ore

h) Setting up and operating a semi-conductor wafer fabrication
manufacturing unit

i) Developing or maintaining and operating or developing ,
maintaining and operating a new infrastructure facility

(Subject to certain conditions)

 100% of capital expenditure incurred for
the purpose of business is allowed as deduction provided specified
businesses commence operations on or after the prescribed dates.		 All assessee
Note: Such deduction
is available to Indian company in case of following business, namely;-

(i) Business of laying and operating a cross-country natural gas or
crude or petroleum oil pipeline network

(ii) Developing or maintaining and operating or developing,
maintaining and operating a new infrastructure facility.

No deduction of any capital expenditure shall be allowed in respect
of which cash payment is made above Rs. 10,000.
18. 35CCC Expenditure (not being cost of
land/building) incurred on notified agricultural extension project for
the purpose of training, educating and guiding the farmers shall be
allowed as deduction, provided the expenditure to be incurred is
expected to be more than Rs. 25 lakhs (Subject to certain conditions).		 150% of the expenditure (Subject to certain
conditions)
Note:- 100% deduction shall be allowed from the 1st
day of April, 2021		 All assessee
19. 35CCD Expenditure incurred by a company (not
being expenditure in the nature of cost of any land or building) on any
notified skill development project is allowed as deduction (Subject to
certain conditions).		 150% of the expenditure (Subject to certain
conditions)
Note: (i) No deduction shall be
allowed to a company engaged in manufacturing alcoholic spirits or
tobacco products.

(ii) 100% deduction shall be allowed for the AY beginning on
or after 1st day of April, 2021

 Company engaged in manufacturing of any
article or providing specified services
D. Under the head Capital Gain
Particulars Section 54 Section 54B Section 54D Section 54EC Section 54EE Section 54F Section 54G Section 54GA Section 54GB
Eligible taxpayer Individual and HUF Individual and HUF Any person Any person Any Person Individual and HUF Any person Any person Individual and HUF
Capital gains eligible for exemption Long-term Short-term or Long-term Short-term or Long-term Long-term Long-term Long-term Short-term or Long-term Short-term or Long-term Long-term
Capital gains arising from transfer of Residential House property Agriculture land used by taxpayer or by his parents or
HUF for agriculture purposes in last 2 years before its transfer		 Compulsory acquisition of land or building forming part
of industrial undertaking (which was used for industrial purposes for at
least 2 years before its acquisition).		 Long-term capital asset (being Land or Building or
both)		 Any long-term capital asset Any long term asset (other than a residential house
property) provided on date of transfer taxpayer does not own more than
one residential house property (except the new house)		 Land, building, plant or machinery, in order to shift
industrial undertaking from urban area to rural area.		 Land, building, plant or machinery, in order to shift
industrial undertaking from urban area to SEZ.		 Residential property (house or a plot of land)
Note:

Provisions of this section shall not apply to any transfer of
residential property made after March 31, 2017. However, in case of an
investment in eligible start-up, the residential property can be
transferred up to March 31, 2019.
Assets to be acquired for exemption One residential house property Agricultural land (may be in urban area or rural area) Land or building for shifting or reestablishing said
industrial undertaking		 Bond of NHAI or REC, etc. Units of such fund as may be notified by Central
Government to finance start-ups		 One residential house property Land, building, plant or machinery, in order to shift
industrial undertaking to rural area.		 Land, building, plant or machinery, in order to shift
industrial undertaking to SEZ.		 Subscription in equity shares of an eligible company.
Note:

1. W.e.f. April 1, 2017, eligible start-up is also included in
definition of eligible company.

2. The eligible company should utilize the amount of subscription for
purchase of new assets (i.e., plant and machinery except vehicle, office
appliances, computer or computer software etc.). However, In the case of
eligible startup, the new asset shall include computers or computer
software.
Time limit for acquiring the new assets Purchase: within 1 year before or 2 years after date of
transfer
Construction: within 3 years after date of transfer		 Within 2 years after date of transfer Within 3 years from date of receipt of compensation Within 6 months from date of transfer Within 6 months after the date of transfer of original
asset		 Purchase: within 1 year before or within 2 years after
date of transfer
Construction: within 3 years after date of transfer		 within 1 year before or 3 years after date of transfer Within 1 year before or within 3 years after date of
transfer		 Investment by the assessee – Before due date for
furnishing of return under Sec. 139(1).
Investment by the company –
within 1 year from date of subscription.
Exemption Amount Investment in new assets or capital gain, whichever is
lower		 Investment in agricultural land or capital gain,
whichever is lower		 Investment in new assets or capital gain, whichever is
lower		 Investment in new assets or capital gains, whichever is
lower, however, subject to Rs. 50 lakhs in a financial year.		 Investment in new assets or capital gains, whichever is
lower, however, subject to Rs. 50 lakhs.		 Investment in new assets X capital gain/net
consideration		 Investment in new assets or capital gain, whichever is
lower		 Investment in new assets or capital gain, whichever is
lower		 Investment in new assets X capital gain/net
consideration
Withdrawal of exemption If new asset is transferred within 3 years of its
acquisition		 If new asset is transferred within 3 years of its
acquisition		 If new asset is transferred within 3 years of its
acquisition		 If new asset is transferred or it is converted into
money or a loan is taken on its security
within 5 years of its
acquisition		 If new asset is transferred within a period of 3 years
from the date of its acquisition.
Note:

Where assessee takes loans or advance on security of such specified
asset, he shall be deemed to have transferred such asset on the date on
which such loan or advance is taken.

 a) If new asset is transferred within 3 years of
acquisition,
b) if another residential house is purchased within 2
years of transfer of original asset;

c) if another house is constructed within 3 years of transfer of
original asset

 If new asset is transferred within 3 years of
acquisition		 If new asset is transferred within 3 years of
acquisition		 If equity shares in company or new asset acquired by
company is sold or transferred within a period of 5 years from date of
acquisition.
Deposit in Capital gains deposit scheme before due
date under Sec. 139(1)		 Yes Yes Yes No No Yes Yes Yes Yes

Capital Gain Account Scheme 1988

a) The scheme is open to all taxpayers, who wish to claim exemption under
Sections 54, 54B, 54D, 54F, 54G or 54GB.

b) If taxpayer could not invest the capital gains to acquire new asset before
due date of furnishing of return, the capital gains can be deposited before due
date for furnishing of return of income in deposit account in any branch of a
nationalized bank in accordance with Capital Gain Account Scheme 1988.

E. Under the head Income from other
sources
1. 56(2)(vii) Any sum of money or immovable property or movable
property received without consideration or for inadequate consideration
from a relative or member of HUF (subject to certain conditions and
circumstances) [on or after 01-10-2009 but before 01-04-2017]		 The whole amount received from specified relatives or
in specified circumstances shall not be included in taxable income.		 Individual and HUF
1A. 56(2)(x) Any sum of money or immovable property or movable
property received without consideration of for inadequate
consideration*** from any person. [on or after 01-04-2017]
*** With
effect from April 1, 2019, in case of immovable property, ‘inadequate
consideration’ shall mean difference between stamp duty value and actual
consideration, if it exceeds Rs. 50,000 or amount equal to 5% of
consideration, whichever is higher.		 The whole amount received from specified relatives or
in specified circumstances shall not be included in taxable income.		 Any person
2. 57(iia) Standard Deduction for family pension 33.33% of Family Pension subject to maximum of Rs.
15,000		 Individual

[As amended by Finance Act, 2018]

Source: www.incometaxindia.gov.in

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