Deductions under clause (i) as it stood prior to its substitution, and under clauses (iii) to (v) as they stood prior to their omission, by Finance Act, 1974 with effect from 1-4-1975 - Clarifications on certain issues retained in the compendium for reference purposes

Circular Clarifies Deductions for Conveyance and Book Purchases; Highlights Registration and Documentation Requirements for Employees.

The circular provides clarifications on standard deductions related to conveyance and book purchases for salaried employees. It outlines that employees can claim deductions for conveyance maintenance even when vehicles are under repair and specifies that deductions for non-motorized conveyances like bicycles are available without proof of travel expenses. Deductions for vehicle maintenance require the vehicle to be registered in the employee's name. For book purchases, deductions are limited to work-related materials and capped at Rs. 500 annually. The circular emphasizes the need for documentation and clarifies that conveyance allowances affect eligibility for these deductions.