Please Guide In Salary Structure And Tax Calculation - CiteHR
Hr Practices
Hr Manager
Manager Hr

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Can any one help me out in knowing the non taxable components of salary.
For example my org is planning to give salary in the following format
Total Salary-6000/permonth
Conveyance Allowance=500
Special Allowance=2000
Attendence Bonus=200
Consulting fee component(since its a hospital,only to doctors)=300
In this i know c.a limit-its 800
The remainining components Basic+DA,Special Allowance,Attendence Bonus,Consulting Fee etc.. are these taxable.
I hope seniors will guide me in this matter
Arun R
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Dear Arun,

Find below one of the salary break-up, you may use some contents of this one also..

The contents of the salary break up is as below, you can prepare it at the suitability of your own. HRA would be 50 or 60% of basic.



CCA - 825/- is exempted from tax

Other Allowance

Mobile Reimbursement

Medical Reimbursement of 1250/month is exempted from tax

Gross Per Month = Sum of all the above.

Gross Per Annum= 12*Gross/Month

PF Contribution= 12% of Basic/Annum

ESI Contribution = 4.75% of Gross/Annum

Medical = The mediclaim facility provided to an employee who are not covered under ESI as the maximum ceiling for ESI is 10000/Month.

Getting more than this will be covered under Mediclaim or it depends on company policy

EX-Gratia/Bonus = A fixed amount as Bonus

Annual Fixed Gross Cost= Gross/Annum+ Ex-gratia

Annual Total Cost = AFGC + PF+ESIC

Annual total cost is also called as CTC.

Apart from this Food coupons, Holiday package and Furnishing items are included in their CTC.

Hope it must have helped you to clear your queries up to some extent.


Amit Seth.
There are two concessions given in the Act which are as follows: Exemptions and Deductions.
For our purpose, we treat both exemptions and deductions in the same manner.
I. Exemptions:
HRA - Sec 10(13A)
Conveyance Allowance -S.No. 10 of Rule 2BB(2) read with Sec 10(14) (i)
HRA - Sec 10(13A).
Housing is a basic necessity for living and a portion of the Salary Income, which is utilised for renting a house, is exempted from tax, with some conditions.
The conditions are : 50 % of Basic
Actual HRA received from the company
Actual Rent paid minus 10% of Basic
Least of these three will be deducted from salary for the purpose of tax calculation.
Conveyance Allowance – S.No. 10 of Rule 2BB(2) read with Sec 10(14) (i): Rs.800/- p.m. will be exempted from Income for Tax Computation. This is for basic conveyance between home and place of work.

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my basic salary is 13500 and ctc is 18365 how much salary on hand per month
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