Special allowance taxability

siva andhavarapu (ca final) (388 Points)

09 June 2017  

HAI

      MY FRIEND IS GETTING SALARY OF RS.800000.HIS PAYSLIPS COSISTS OF HRA,CONVEYANCE ALLOWANCE AND ALSO SPECIAL ALLOWANCEOF RS.200000 P.A..WHAT IS THE TAXABILITY OF SPECIAL ALLOWANCE.CAN I TAKE 50% OF SPECIAL ALLOWANCE AS EXEMPTED INCOME UNDER 10(14).(HE IS GOING TO OFFICE BY EITHER CAB OR BUS)