Salary deduction under section 16: tiered deduction framework for lower and higher salary earners, with percentage and fixed limits. Amendment replaces clause (i) of section 16 to create a tiered salary deduction: for assessees at or below a specified income threshold the deduction ... Summary
Salary deduction under section 16: tiered deduction framework for lower and higher salary earners, with percentage and fixed limits.
Amendment replaces clause (i) of section 16 to create a tiered salary deduction: for assessees at or below a specified income threshold the deduction equals the lesser of a percentage of salary or a fixed sum; for assessees above that threshold a specified fixed deduction applies; the change takes effect from the commencement date in the amendment and operates when computing taxable salary income under the section.
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