Standard deduction on salary income section 16(ia)
According to Income Tax Act, 1961 reintroduced standard deduction from salary income ,assessee income from salary feel that there is unfair that expenditure are not allows from salary income for which they has incurred to earn such income.
Quantum of Amount
1. Salary Income
Whichever is less
But some deduction withdrawn
1. Transport allowance of Rs. 1600 per month for the purpose of commuting between the place of residence to office place.
However transport allowance of Rs. 3200 per month granted to an employee who is blind or deaf and dumb.
2.Any sum paid by employer in respect of any
Now standard deduction shall be allowed while computing the income under the head ” salaries”