Grade pay in case of govt employee

Tax queries 800 views 3 replies

GRADE PAY IN CASE OF GOVT EMPLOYEE WHAT DOES IT SIGNIFIES IN WHICH HEAD IT SHOULD BE ADDED ANY DEDUCTION ON THIS ?

Replies (3)

Hi ,  I think you are asking the grade pay as like this : 20000-500-24000-400 , if this is your question then here is your answer to that :

If you join the organisation on 1.01.2011 at above scale then it means that you will be initially paid a sum of Rs 20000 and then next year your pay wll increase to 20500 and so on till you reaches to the level of 24000 and similiary increment of Rs 24400 and so on . 

Point regarding taxability , it will be taxable under the head salary as normal salary is taxed 

Plz correct me if I misunderstood . 

agree with SHASHANK GOYAL             

agree with above


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