What is income from salary?

Any emoluments received by an employee from an employer in cash, kind or as a facility [perquisite] is considered as Salary. In theoretical terms, it includes

• wages;
• any annuity or pension;
• any gratuity;
• any fees, commissions, perquisites or profits in lieu of or in addition to any salary or wages;
• any advance of salary;
• any payment received by an employee in respect of any period of leave not availed by him;
• the portion of the annual accretion in any previous year to the balance at the credit of an employee participating in a recognised provident fund to the extent it is taxable;
• transferred balance in a recognised provident fund to the extent it is taxable; and
• contribution by the Central Government to the account of an employee under a pension scheme referred to in section 80CCD.