Income Tax Act, 2025
Section 6: Subs. by Act 38 of 1993, s. 8, for “travel or stay” (w.e.f. 11993).
6. Subs. by Act 38 of 1993, s. 8, for “travel or stay” (w.e.f. 11993).
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1[subject to the condition that—
(A) the expenditure on medical treatment and stay abroad shall be excluded from perquisite
only to the extent permitted by the Reserve Bank of India; and
(B) the expenditure on travel shall be excluded from perquisite only in the case of an
employee whose gross total income, as computed before including therein the said expenditure,
does not exceed two lakh rupees;]
(vii) any sum paid by the employer in respect of any expenditure actually incurred by
the employee for any of the purposes specified in clause (vi) subject to the conditions
specified in or under that clause:
2[Provided further that for the assessment year beginning on the 1st day of April,
2002, nothing contained in this clause shall apply to any employee whose income under
the head “Salaries” (whether due from, or paid or allowed by, one or more employers)
exclusive of the value of all perquisites not provided for by way of monetary payment,
does not exceed one lakh rupees.]
Explanation.—For the purposes of clause (2),—
(i) “hospital” includes a dispensary or a clinic 3[or a nursing home];
(ii) “family”, in relation to an individual, shall have the same meaning as in clause (5) of
section 10; and
(iii) “gross total income” shall have the same meaning as in clause (5) of section 80B;]
4* * * * *
(3) “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 the termination of his employment or the modification
of the terms and conditions relating thereto;
(ii) any payment [other than any payment referred to in clause (10] 5[, clause (10A)]
6[, clause (10B)], clause (11), 7[clause (12) 8[ , clause (13)] or clause (13A)] of section 10], due to
or received by an assessee from an employer or a former employer or from a provident or other
fund 9***, to the extent to which it does not consist of contributions by the assessee or 10[interest
on such contributions or any sum received under a Keyman insurance policy including the sum
allocated by way of bonus on such policy.
Explanation.—For the purposes of this sub-clause, the expression “Keyman insurance policy”
shall have the meaning assigned to it in clause (10D) of section 10;]
11[(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.]
the expenditure on medical treatment and stay abroad shall be excluded from perquisite
only to the extent permitted by the Reserve Bank of India; and
the expenditure on travel shall be excluded from perquisite only in the case of an
employee whose gross total income, as computed before including therein the said expenditure,
does not exceed two lakh rupees;]
any sum paid by the employer in respect of any expenditure actually incurred by
the employee for any of the purposes specified in clause
subject to the conditions
specified in or under that clause:
2[Provided further that for the assessment year beginning on the 1st day of April,
2002, nothing contained in this clause shall apply to any employee whose income under
the head “Salaries” (whether due from, or paid or allowed by, one or more employers)
exclusive of the value of all perquisites not provided for by way of monetary payment,
does not exceed one lakh rupees.]
Explanation.—For the purposes of clause
“hospital” includes a dispensary or a clinic 3[or a nursing home];
“family”, in relation to an individual, shall have the same meaning as in clause
of
section 10; and
“gross total income” shall have the same meaning as in clause
of section 80B;]
4* * * * *
“profits in lieu of salary” includes—
the amount of any compensation due to or received by an assessee from his employer or
former employer at or in connection with the termination of his employment or the modification
of the terms and conditions relating thereto;
any payment [other than any payment referred to in clause (10] 5[, clause
8[ , clause
of section 10;]
11[
any amount due to or received, whether in lump sum or otherwise, by any assessee
from any person—
before his joining any employment with that person; or
after cessation of his employment with that person.]