Is settlement allowance come under income tax?

My company will give me one time settlement allowance after completion of one year on and above the salary.Is this entity taxable?

asked Jan 19 '12 at 18:15 by krrish 1111

There won't be any exemption/deduction for such extra allowance provided by employer. It will be added to your taxable income and taxed according to slab rates.

answered Jan 23 '12 at 15:27 by Pankaj Batra 5.2k320


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Asked: Jan 19 '12 at 18:15

Seen: 2,166 times

Last updated: Jan 23 '12 at 15:27