https://www.taxtmi.com/caselaws?id=60673 Dearness allowance is includible in "salary" for computing disallowance under section 40A(5) because Explanation 2 to that provision adopts the meaning of salary in section 17(1) read with section 17(3) of the Income-tax Act, 1961, and that definition is wide enough to cover dearness allowance. The definition of salary in Explanation 1 to rule 3 of the Income-tax Rules, 1962 applies only to valuation of the perquisite of rent-free residential accommodation and does not govern section 40A(5). The departmental objection to including dearness allowance therefore fails. en-us Mon, 14 Sep 1981 00:00:00 +0530 Fri, 07 Jan 2011 15:29:37 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=60673 Dearness allowance is includible in "salary" for computing disallowance under section 40A(5) because Explanation 2 to that provision adopts the meaning of salary in section 17(1) read with section 17(3) of the Income-tax Act, 1961, and that definition is wide enough to cover dearness allowance. The definition of salary in Explanation 1 to rule 3 of the Income-tax Rules, 1962 applies only to valuation of the perquisite of rent-free residential accommodation and does not govern section 40A(5). The departmental objection to including dearness allowance therefore fails. Case-Laws Income Tax Mon, 14 Sep 1981 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=60673