LIFE INSURANCE CORPORATION OF INDIA CLASS I OFFICERS BOM ASSOCIATION MUMBAI Vs. LIFE INSURANCE CORPORATION OF INDIA

JUDGEMENT

(1.) THE question to be considered and decided in this petition is whether Conveyance Allowance paid to the members of the petitioners Association is exempted from payment of tax under section 10 (14) of the Income Tax, 1961.

(2.) SECTION 10 (14) of the Income Tax Act, 1961 reads as under :-

(3.) IN the present petition we are required to consider section 10 (14) (i) read with Rule 2-BB (1) (c) and to decide whether conveyance allowance of Rs. 100/- given to the employees to meet expenses incurred in performance of duties of an Office. It would be clear from following discussions that payment of Rs. 100/- as conveyance allowance is not granted to meet expenses incurred in performance of duties of an office and has no connection with the expenditure incurred on conveyance in performance of duties of an office.