Condition for allowance of exemption with respect to additional conveyance allowance to DOs of LIC. - Income Tax - 1768/CBDT

INSTRUCTION NO. 1768/CBDT Dated: July 2, 1987 Attention is invited to the Board's instructions No.1738 (F.No.200/172/84-IT(AN) dated the 28th November, 1986 on the above subject. The Commissioners of Income-tax were directed that the exemption in respect of the additional conveyance allowance received by the Development Officers of the Life Insurance Corporation of India be allowed in cases where the Life Insurance Corporation of India appends a certificate in the salary certificate to the effect that the additional conveyance allowance granted to the concerned Development Officers was granted specifically to meet the expenses wholly, necessarily and exclusively for the performance of the duties of the office and had been actually incurred for that purpose. 2. It has been pointed out to the Board that the words used in Section 10(14) are "in the performance" and the connotation of the words "for the performance" is wider than that of "in the performance". The assessing officers may, therefore, insist upon a certificate from the Life Insurance Corporation of India strictly in accordance with the language used in Section 10(14) of the Act. 3. These instructions may please be brought to the notice of all the officers working in your charge.