| Section |
Nature of
Income |
Exemption
limit, if any |
| 1 |
2 |
3 |
| 10(1) |
Agricultural income |
|
| 10(2) |
Share from income of HUF |
|
| 10(2A) |
Share of profit from firm |
|
| 10(3) |
Casual and non-recurring receipts |
Winnings from races Rs.2500/- other receipts Rs.5000/- |
| 10(10D) |
Receipts from life Insurance Policy |
|
| 10(16) |
Scholarships to meet cost of
education |
|
| 10(17) |
Allowances of MP and MLA. |
For MLA not exceeding Rs. 600/-
per month |
| 10(17A) |
Awards and rewards |
|
| |
(i) from awards by Central/State Government |
|
| |
(ii) from approved awards by
others |
|
| |
(iii) Approved rewards from
Central & State Governments |
|
| 10(26) |
Income of Members of scheduled
tribes residing in certain areas in North Eastern States or in the
Ladakh region. |
Only on income arising in those
areas or interest on securities or dividends |
| 10(26A) |
Income of resident of Ladakh |
On income arising in Ladakh or
outside India |
| 10(30) |
(i) Subsidy from Tea Board under
approved scheme of replantation |
|
| 10(31) |
(ii) Subsidy from concerned Board
under approved Scheme of replantation |
|
| 10(32) |
Minor's income clubbed with
individual |
Upto Rs. 1,500/- |
| 10(33) |
Dividend from Indian Companies,
Income from units of Unit Trust of India and Mutual Funds , and
income from Venture Capital Company/fund. |
|
| 10(A) |
Profit of newly established
undertaking in free trade zones electronic hardware technology park
on software technology park for 10 years (net beyond 10 year from
2000-01) |
|
| 10(B) |
Profit of 100% export oriented
undertakings manufacturing articles or things or computer software
for 10 years (not beyond 10 years from 2000-01) |
|
| 10(C) |
Profit of newly established
undertaking in I.I.D.C or I.G.C. in North-Eastern Region for 10
years |
|
| Income from interest |
|
|
| 10(15)(i)(iib)(iic) |
Interest, premium on redemption
or other payments from notified securities, bonds, Capital investment bonds, Relief bonds etc. |
To the extent mentioned in
notification |
| 10(15)(iv)(h) |
Income from interest payable by a
Public Sector Company on notified bonds or debentures |
|
| 10(15)(iv)(i) |
Interest payable by Government on
deposits made by employees of Central or State Government or Public
Sector Company of money due on retirement under a notified scheme |
|
| 10(15)(vi) |
Interest on notified Gold Deposit
bonds |
|
| 10(15)(vii) |
Interest on notified bonds of
local authorities |
|
| Income from Salary |
|
|
| 10(5) |
Leave Travel assistance/
concession |
Not to exceed the amount payable
by Central Government to its employees |
| 10(5B) |
Remuneration of technicians
having specialised knowledge and experience in specified fields (not
resident in any of the four preceding financial years) whose
services commence after 31.3.93 and tax on whose remuneration is
paid by the employer |
Exemption in respect of income in
the from of tax paid by employer for a period upto 48 months |
| 10(7) |
Allowances and perquisites by the
government to citizens of India for services abroad |
|
| 10(8) |
Remuneration from foreign
governments for duties in India under Cooperative technical
assistance programmes. Exemption is provided also in respect of any
other income arising outside India provided tax on such income is
payable to that Government. |
|
| 10(10) |
Death-cum-retirement Gratuity- |
|
| |
(i) from Government |
|
| |
(ii) Under payment of Gratuity
Act 1972 |
Amount as per Sub-sections (2),
(3) and (4) of the Act. |
| |
(iii) Any other |
Upto one-half months salary for
each year of completed service. |
| 10(10A) |
Commutation of Pension- |
|
| |
(i) from government, statutory
Corporation etc. |
|
| |
(ii) from other employers |
Where gratuity is payable - value
of 1/3 pension. Where gratuity is not payable - value of 1/2
pension. |
| |
(iii) from fund set up by LIC u/s
10(23AAB) |
|
| 10(10AA) |
Encashment of unutilised earned
leave |
|
| |
(i) from Central or State
government |
|
| |
(ii) from other employers |
Upto an amount equal to 10 months
salary or Rs. 1,35,360/- which ever is less |
| 10(10B) |
Retrenchment compensation |
Amount u/s. 25F(b) of Industrial
Dispute Act 1947 or the amount notified by the government, whichever
is less. |
| 10(10C) |
Amount received on voluntary
retirement or termination of service or voluntary separation under
the schemes prepared as per Rule 2BA from public sector companies,
statutory authorities, local authorities, Indian Institute of
Technology, specified institutes of management or under any scheme
of a company or Co-operative Society |
Amount as per the Scheme subject
to maximum of Rs. 5 lakh |
| 10(11) |
Payment under Provident Fund Act
1925 or other notified funds of Central Government |
|
| 10(12) |
Payment under recognised
provident funds |
To the extent provided in rule 8
of Part A of Fourth Schedule |
| 10(13) |
Payment from approved
Superannuation Fund |
|
| 10(13A) |
House rent allowance |
least of- |
| |
|
(i) actual allowance |
| |
|
(ii) actual rent in excess of 10%
of salary |
| |
|
(iii) 50% of salary in Mumbai,
Chennai, Delhi and Calcutta and 40% in other places |
| 10(14) |
Prescribed [See Rule 2BB (1)]
special allowances or benefits specifically granted to meet expenses
wholly necessarily and exclusively incurred in the performance of
duties |
To the extent such expenses are
actually incurred. |
| 10(18) |
Pension including family pension
of recipients of notified gallantry awards |
|
| Exemptions to Non-citizens only |
|
|
| 10(6)(i)(a) and (b) |
(i) passage money from employer
for the employee and his family for home leave outside India |
|
| |
(ii) Passage money for the
employee and his family to 'Home country' after
retirement/termination of service in India. |
|
| 10(6)(ii) |
Remuneration of members of
diplomatic missions in India and their staff, provided the members
of staff are not engaged in any business or profession or another
employment in India. |
|
| 10(6)(vi) |
Remuneration of employee of
foreign enterprise for services rendered during his stay in India in
specified circumstances provided the stay does not exceed 90 days in
that previous year. |
|
| 10(6)(xi) |
Remuneration of foreign
Government employee on training in certain establishments in India. |
|
| Exemptions to Non-residents only |
|
|
| |
Refer Chapter VII (Para 7.1.1) |
|
| |
Chapter VIII (Para 8.4) |
|
| |
Chapter IX |
|
| |
Chapter X (Para 10.4) |
|
| Exemptions to Non-resident
Indians (NRIs) only |
|
|
| |
Refer Chapter XI |
|
| Exemptions to funds,
institutions, etc. |
|
|
| 10(14A) |
Public Financial Institution from
exchange risk premium received from person borrowing in foreign currency if the amount of such premium is credited to a fund specified in section 10(23E) |
|
| 10(15)(iii) |
Central Bank of Ceylon from
interest on securities |
|
| 10(15)(v) |
Securities held by Welfare
Commissioners Bhopal Gas Victims, Bhopal from Interest on securities
held in Reserve Bank's SGL Account No. SL/DH-048 |
|
| 10(20) |
any local Authority |
(a) Business income derived from
Supply of water or electricity any where. Supply of other commodities or service within its own jurisdictional area. |
| |
|
(b) Income from house property,
other sources and capital gains. |
| 10(20A) |
Housing or other Development
authorities |
|
| 10(21) |
Approved Scientific Research
Association |
|
| 10(23) |
Notified Sports Association/
Institution for control of cricket, hockey, football, tennis or
other notified games. |
|
| 10(23A) |
Notified professional
association/institution |
All income except from house
property, interest or dividends on investments and rendering of any specific services |
| 10(23AA) |
Regimental fund or Non-public
fund |
|
| 10(23AAA) |
Fund for welfare of employees or
their dependents. |
|
| 10(23AAB) |
Fund set up by LIC of India under
a pension scheme |
|
| 10(23B) |
Public charitable trusts or
registered societies approved by Khadi or Village Industries
commission |
|
| 10(23BB) |
Any authority for development of
khadi or village industries |
|
| 10(23BBA) |
Societies for administration of
public, religious or charitable trusts or endowments or of
registered religious or charitable Societies. |
|
| 10(23BBB) |
European Economic Community from
Income from interest, dividend or capital gains |
|
| 10(23BBC) |
SAARC Fund |
|
| 10(23C) |
Certain funds for relief,
charitable and promotional purposes, certain educational or medical
institutions |
|
| 10(23D) |
Notified Mutual Funds |
|
| 10(23E) |
Notified Exchange Risk
Administration Funds |
|
| 10(23EA) |
Notified Investors Protection
Funds set up by recognised Stock Exchanges |
|
| 10(23FB) |
Venture capital Fund/ company set
up to raise funds for invest�ment in venture Capital
undertaking |
Income from invest�ment in
venture capital undertaking |
| 10(23G) |
Infrastructure capital fund, or
infrastructure capital company |
Income from dividend, interest
and long term capital gains from investment in approved
infrastructure enterprise |
| 10(24) |
Registered Trade Unions |
Income from house property and
other sources |
| 10(25)(i) |
Provident Funds |
Interest on securities and
capital gains from transfer of such securities |
| 10(25)(ii) |
Recognised Provident Funds |
|
| 10(25)(iii) |
Approved Superannuation Funds |
|
| 10(25)(iv) |
Approved Gratuity Funds |
|
| 10(25)(v) |
Deposit linked insurance funds |
|
| 10(25A) |
Employees State Insurance Fund |
|
| 10(26B)(26BB) and (27) |
Corporation or any other body set
up or financed by and government for welfare of scheduled caste/
scheduled tribes/backward classes or minorities communities |
|
| 10(29) |
Marketing authorities |
Income from letting of godown and
warehouses |
| 10(29A) |
Certain Boards such as coffee
Board and others and specified Authorities |
|
