Counter insurgency allowance – exemption from Income Tax
As per Section 10 of the Income Tax Act, certain incomes are not included in computing the total income. As per Rule 2BBA, certain allowances and their limits are prescribed for exclusion from the Tax. One such allowance is the counter insurgency allowance granted to armed forces personnel for operating away from their permanent locations for a period of more than 30 days. Now the restriction of 30 days is deleted.
Notification No. , Dated: September 8, 2005