salary

  "PROFITS IN LIEU OF SALARY" INCLUDES-

(i)         The amount of any compensation due to or received by an assessee from his employer or former employer at or in connection with...

-(A) the termination of his employment or

-(B) the modification of the terms and conditions relating thereto;

(ii)        Any payment due to or received by an assessee..

-(A) from an employer or a former employer or

-(B) from a provident or other fund to the extent to which it does not consist of contributions by the assessee or Interest on such contribution or

-(C) any sum received under a Keyman  Insurance Policy including the sum allocated by way of bonus on such policy;

(iii)any amount due to or received, whether in lump sum or otherwise, by any assessee from any person –

(A) before his joining any employment with that person; or

(B) after cessation of his employment with that person.]

exceptions: - the following receipts will not be considered for these clauses.

-          any death cum  gratuity; it is chargeable under section 17(1) (iii).

-          Commuted value of pension; it is chargeable under section 17(1) (ii).

-          Retrenchment compensation: - it is chargeable under sub section (i) of section 17(3) above.

-          Payment from a statutory provident fund:- a provident fund to which provident fund act, 1925 applies or has been set up and notified by the central government, such receipt is fully exempt u/s 10(11).

Refer:: profit-in-lieu-of-salary-section-17-3-of-IT act