Income tax act 2026

I am central govt employee disabled and residing at ahmedabad with physically disabled with lower extremities. 

As per new income tax act 2025,

  1. what is provisions for disabled employee 
  2. whether the trasport allowance for daily travel to office is fully exempted, please share current limits and applicable section. 

vikas garg

Replies (4)
Quick Summary
This discussion clarifies the transport allowance exemption for disabled central government employees under the Income Tax Act 2026. It addresses the potential revision of the ₹3,200 monthly limit, with a query about a new exemption of ₹15,000 plus DA per month as per a March 2026 notification. The relevant sections and standard deduction limits for disability are also mentioned.

  • Section 80U Deduction: ₹75,000 (standard disability) or ₹1,250,000 (severe disability).

  • Transport Allowance Exemption: ₹3,200 per month under Section 10(14) / Rule 2BB (valid under both Old and New Tax Regimes).

I search Internet and got this

 

Previously 10(14) clause and Rs 3200 limit has been revised now as per new Income TAx 2025, and the notification issued march 2026. Rule 280(2), Table, Sl. No. 10 specifically provides exemption for Transport Allowance to disabled employee the revised exemption limit is ₹15,000 + DA thereon per month.

Kindly please confirm and explain the same. 

The discrepancy here is between the old-regime figure and the revised provision under the Income Tax Act 2025.

Under the old Income Tax Act 1961, Rule 2BB fixed transport allowance exemption at Rs 3,200 per month for blind, deaf, or orthopaedically handicapped employees.

Under the Income Tax Act 2025 (effective from FY 2026-27), the rules have been restructured. Rule 280(2) now governs this exemption. The table in Rule 280(2) specifies a revised limit ,  if Sl. No. 10 shows Rs 15,000 + DA, that is the current applicable limit for orthopaedically handicapped employees who use a conveyance to commute to the place of work.

Two things to verify before claiming:
- The employment must be with a notified establishment (central government and state government employees qualify).
- The disability certificate under the Persons with Disabilities Act must be in order.

For the exact cross-reference between old and new sections, this [Income Tax Act 2025 section mapping guide](https://taxgarden.in/blog/income-tax-act-2025-section-mapping-old-vs-new-india) lists the renumbered provisions side by side.

I also have the same question

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