Non exemption of Incentive bonus to DOs of LIC.

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.... exemption of incentive bonus paid to the Development Officers was not acceptable. 2. It has been brought to the notice of the Board that the Development Officers of Life Insurance Corporation of India are still claiming expenses separately against the receipt of incentive bonus/commission from the Life Insurance Corporation at a fixed percentage. In support of their claim they rely on the Board'....

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....n the Life Insurance Corporation and the Development Officer. The payment received by the Development Officers as incentive bonus or bonus commission (or by any other name) is for the work done for the employer. It is in lieu of or in addition to salary and forms part of salary by virtue of Section 17(1)(iv) of the Income-tax Act, 1961. 4. In view of the foregoing, no deduction other than the sta....