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Composite Allowance

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(Querist)
08 July 2022 Sir,

What is composite allowance included in the salary structure. Whether it have any tax implication.
Also whether all employer are eligible to provide composite allowance to their employees.
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Dhirajlal Rambhia online

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Dhirajlal Rambhia online (Expert)
18 July 2022 Composite allowance usually given by central government to its employees, like army personnel, are specific area related allowance, due to hilly area, or distinct remote area etc. They are tax free upto certain limit under Sec. 10(14) of IT act.
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