Project Allowance

Project Allowance is paid from cell R3H2 of the 7th CPC Risk and Hardship Matrix: Rs. 4,250 and Rs. 3,375 a month since 1 January 2024, split by pay level.

Updated 11 September 2026

Project Allowance is a hardship allowance paid to a central government employee posted at the place of construction of a major project, to compensate for the lack of schools, markets, proper housing and medical facilities there. Since 1 July 2017 it has been paid at the rate of cell R3H2 of the Risk and Hardship Matrix, which is Rs. 4,250 a month for Level 9 and above and Rs. 3,375 a month for Level 8 and below with effect from 1 January 2024, under Department of Expenditure Resolution No. 11-1/2016-IC dated 6 July 2017.

The allowance sits in one cell, not two. Paragraph 8.10.75 of the 7th Central Pay Commission report names Project Allowance among the allowances subsumed in cell R3H2, alongside High Altitude Allowance Cat-I, Tough Location Allowance-II, the Compensatory (Construction or Survey) Allowance and the Hydrographic Survey Allowance for surveyors. Serial 132 of the Commission’s summary of recommendations puts it in one line: retained, rationalised, to be paid as per cell R3H2 of the newly proposed Risk and Hardship Matrix.

What the 7th CPC did not touch was the question of which sites qualify. Paragraph 8.10.66 states that subsumed allowances “shall maintain their names and conditions attached with their admissibility (unless otherwise stated)”, and are paid at the cell rate. The Commission changed the price of the allowance and left the entitlement rules with the administering ministry, which is why the Railway Board and not the Department of Expenditure decides whether a given Railway project office is in a project area.

Current rate and its authority

Project Allowance is Rs. 4,250 a month for an employee at Level 9 and above and Rs. 3,375 a month for an employee at Level 8 and below, with effect from 1 January 2024. Those are the rates of cell R3H2 of the Risk and Hardship Matrix as raised by the single 25% escalator step that fell due when dearness allowance reached 50%.

Position	Level 9 and above	Level 8 and below	Authority
Pre-revised, above and below Grade Pay 5400	Rs. 2,250	Rs. 1,500	7th CPC report, paragraph 8.10.40
Cell R3H2, from 1 July 2017	Rs. 3,400	Rs. 2,700	7th CPC report, paragraph 8.10.75; Resolution No. 11-1/2016-IC dated 6 July 2017
Cell R3H2, from 1 January 2024	Rs. 4,250	Rs. 3,375	Paragraph 8.10.66 escalator, dearness allowance having reached 50%

The base figures of Rs. 3,400 and Rs. 2,700 were notified by Department of Expenditure Resolution No. 11-1/2016-IC dated 6 July 2017, which gave effect to the Cabinet decision of 28 June 2017 on the 7th CPC allowance recommendations with effect from 1 July 2017. That Cabinet decision carried 34 modifications to the Commission’s allowance recommendations. Project Allowance was not one of them.

Two figures widely quoted for this allowance are wrong. Rs. 2,250 and Rs. 1,500 are the pre-revised rates, superseded on 1 July 2017. Rs. 3,400 and Rs. 2,700 are the base cell rates, superseded on 1 January 2024. The live figures are Rs. 4,250 and Rs. 3,375.

What the allowance compensates

The allowance answers the absence of ordinary civic amenities at a construction site, not the physical risk of construction work. Paragraph 8.10.40 of the 7th Central Pay Commission report describes it as granted “to compensate for lack of amenities like Schools, Markets, proper housing and medical facilities at the places of construction of major projects”. Schools, markets, housing and medical facilities are the four named heads, and they are the reason the allowance is classified as hardship rather than risk.

That classification decides the rate. The Risk and Hardship Matrix grades a duty on two axes, risk from R1 to R3 and hardship from H1 to H3, with R1 and H1 the severest. Project Allowance sits at R3, meaning low risk, and H2, meaning medium hardship. A construction site is not a field area and not a flying duty, and the matrix prices it accordingly, at about one seventh of cell R1H1.

A major project is built where the work is rather than where the amenities are, and the staff who run it live near the site for the duration. The allowance is the payment for that, and it is drawn over and above basic pay, dearness allowance and house rent allowance, which the posting does not disturb.

Who draws it

Railway employees are the main body of recipients. Paragraph 8.10.40 records that the allowance “is mainly paid to Railway employees whose offices are in project area and who have to reside within a nearby locality”, and the Committee on Allowances reproduced that description verbatim in April 2017 without qualifying it. The eligibility limb therefore has two parts for a railway employee: the office is in a project area, and the employee has to live in a locality near it.

Nothing in the report confines the allowance to the Railways. It is expressed as an allowance for central government employees at the places of construction of major projects, which is how it reaches the construction and project organisations of other ministries, among them the Central Public Works Department and the Border Roads Organisation. The report does not enumerate those organisations, and the operative list for any given ministry is in that ministry’s own orders.

One department is expressly out. The Department of Atomic Energy told the Committee on Allowances that Project Allowance had been paid to its employees at remote project sites before 1974 and was withdrawn after 1974 once amenities were provided at those sites, and that a Project Concession of free electricity within limits, minimal-charge transport for school children and concessional school excursions was granted instead. The department asked for cell R3H2 to be extended to its ongoing projects at Vizag and Chitradurga. The Committee declined and left the Project Concession to be decided on its own footing.

The pre-revised rates and the size of the rise

The allowance paid Rs. 2,250 a month above Grade Pay 5400 and Rs. 1,500 a month for others immediately before 1 July 2017. Both the 7th CPC report at paragraph 8.10.40 and the Committee on Allowances report at paragraph 5.4.21 state the same two figures, so the pre-revised position is not in doubt.

The move to cell R3H2 took the higher slab from Rs. 2,250 to Rs. 3,400, a rise of 51.1%, and the lower slab from Rs. 1,500 to Rs. 2,700, a rise of 80%. Measured against the current figures of Rs. 4,250 and Rs. 3,375, the increases since the pre-revised position are 88.9% and 125%. The staff slab gained far more than the officer slab, and the reason is arithmetical rather than deliberate, as the next section sets out.

The structural change was the replacement of grade pay by pay level as the dividing line. Before 1 July 2017 the split was at Grade Pay 5400; after it, the split is between Level 9 and above and Level 8 and below, the two-slab design the Commission applied across every risk and hardship allowance at paragraph 8.10.61 to cut what had been as many as seven slabs in some cases.

How the cell rate was derived

The R3H2 rate was calculated from a different allowance altogether. Paragraph 8.10.75 states that “the rate has been arrived at by applying the factor of 1.5 to the rates of Special Compensatory (Remote Locality) Allowance-Part C”. Part C paid Rs. 2,250 a month above Grade Pay 5400 and Rs. 1,800 for others, per paragraph 8.10.49. Multiplying by 1.5 gives Rs. 3,375 and Rs. 2,700, and the Commission rounded the first to Rs. 3,400.

That is why the two slabs of Project Allowance rose by different percentages. The officer slab of Part C happened to equal the officer slab of Project Allowance at Rs. 2,250, so the officer rate moved by the full 1.5 factor. The staff slab of Part C was Rs. 1,800 against Rs. 1,500 for Project Allowance, so the staff rate moved by 1.8. Nobody set out to give the lower slab a larger rise; it fell out of pricing the cell off Special Compensatory (Remote Locality) Allowance rather than off the allowances being absorbed into it.

The same method priced the neighbouring cells. R3H1 was derived from the average of Part A and Part B of the same allowance with the 1.5 factor applied, and R3H3 from Part D with a floor lifted so that no allowance anywhere in the pay system fell below Rs. 1,000 a month.

The company the allowance keeps in cell R3H2

Five allowances share the cell, and all five pay Rs. 4,250 and Rs. 3,375 a month since 1 January 2024. Paragraph 8.10.75 lists them.

Allowance in cell R3H2	What it is paid for
High Altitude Allowance Cat-I	Service between 9,000 feet and 15,000 feet, and specified uncongenial areas below 9,000 feet
Tough Location Allowance-II	Places previously covered by Special Compensatory (Remote Locality) Allowance Part C
Project Allowance	The place of construction of a major project
Compensatory (Construction or Survey) Allowance	Railway servants on construction or survey projects, ordinarily new lines, restorations, surveys or doubling
Hydrographic Survey Allowance, surveyors only	Hydrographic survey duty, non-surveyors excluded

Track Maintainers of Indian Railways in grades I to IV are a sixth claim on the cell rate without being a sixth allowance. Paragraph 8.10.75 recommended that they “should be granted a RHA based on the rates of this cell, in view of the hardship faced by these categories of employees”, and Railway Board RBE No. 87/2017, File No. PC-VII/2017/I/7/5/4 dated 10 August 2017, gave effect to it from 1 July 2017.

The Compensatory (Construction or Survey) Allowance is the allowance closest to Project Allowance and the one most often confused with it. Paragraph 8.10.15 grants it to Railway servants employed on construction or survey projects, ordinarily for new lines, restorations, surveys or doubling with the Railway Board’s approval. Project Allowance attaches to residence near the place of construction; the construction or survey allowance attaches to the employment on the project work itself. They pay the same amount and are not the same entitlement.

Conditions of admissibility after 2017

The matrix changed the rate and nothing else. Paragraph 8.10.66 is explicit: subsumed allowances “shall maintain their names and conditions attached with their admissibility (unless otherwise stated)”, and “they will be paid as per the rate of the cell under which they have been placed”. Project Allowance therefore keeps its name, keeps whatever definition of a project area its administering ministry applied before 1 January 2016, and draws the cell figure.

Three practical consequences follow. The order that declares a site a project area remains the order to check, not the Resolution of 6 July 2017. The authority that can withdraw the allowance is the administering ministry, by ending the declaration, not the Department of Expenditure. And the allowance stops when the employee ceases to satisfy the pre-existing condition, which for a Railway employee under paragraph 8.10.40 means the office ceasing to be in a project area or the employee ceasing to have to reside in a nearby locality.

The 7th CPC report does not define a project area, set a maximum duration, or prescribe a de-declaration procedure. Anyone quoting such a rule is quoting a ministry order, and the ministry order is the citation that matters.

Concurrent admissibility with another allowance

There is no general matrix rule barring an employee from drawing a second allowance alongside Project Allowance. Paragraph 8.10.78 says only that “concurrent admissibility of allowances, applicable to Defence personnel, shall remain unaltered”, extending the same position to Central Armed Police Forces personnel posted in field areas. Read with paragraph 8.10.66, that leaves every pairing to the pre-2016 instructions of the administering ministry.

The one express bar in the hardship cells is narrower than it is usually reported. Paragraph 8.10.63 provides that where a place falls in more than one category, the higher rate of Tough Location Allowance applies, and that Tough Location Allowance “will, however, not be admissible along with Special Duty Allowance”. Both limbs are about Tough Location Allowance. Neither names Project Allowance, and neither creates a rule that only one hardship allowance is payable for a posting.

The practical effect for a project site that also lies in a notified remote or tribal area is that the ministry’s own instructions decide, and the employee’s Drawing and Disbursing Officer applies them. Where Tough Location Allowance-II is the competing claim the question is often academic, because both sit in cell R3H2 and pay the identical Rs. 4,250 or Rs. 3,375.

Project Allowance on deputation

A project allowance admissible in a project area in the borrowing organisation is drawn in addition to the Deputation (Duty) Allowance. Paragraph 7.1 of the Department of Personnel and Training consolidated guidelines on deputation and foreign service, Office Memorandum No. DOPT-1711629234974 dated 28 March 2024, states it in terms, and the same paragraph treats a special allowance granted in the parent department under Fundamental Rule 9(25) the other way, disallowing it in addition under paragraph 7.2 except with the specific and prior approval of the Department of Personnel and Training.

An officer on deputation to a project organisation at Level 11 therefore draws Rs. 4,250 a month of Project Allowance on top of the Deputation (Duty) Allowance of 10% of basic pay subject to Rs. 11,250 a month where the deputation involves a change of station. The two are additive because paragraph 7.1 says so, not because of anything in the Risk and Hardship Matrix.

The dearness-allowance escalator

Every cell of the matrix rises by 25% each time dearness allowance rises by 50 percentage points. Paragraph 8.10.66 puts it in one sentence: “The rates will increase further by 25 percent each time DA rises by 50 percent.” No fresh rate order is issued for the step, which is why an employee will not find a Department of Expenditure Office Memorandum re-tabulating Rs. 4,250 and Rs. 3,375.

One step has fallen due. Dearness allowance on the revised pay structure stood at 0% on 1 January 2016 and reached 50% with effect from 1 January 2024, taking Project Allowance from Rs. 3,400 and Rs. 2,700 to Rs. 4,250 and Rs. 3,375. Dearness allowance is 60% from 1 January 2026. That is a rise of 10 percentage points since the last step, not 50, so the next 25% step arrives only when dearness allowance reaches 100%.

The escalator is the whole of the indexation. The matrix rate is a flat monthly figure and carries no dearness allowance of its own, so Project Allowance does not grow with each half-yearly dearness allowance order the way the dearness allowance component of pay does. Between 1 January 2024 and the next 50-point step the rupee value of the allowance is frozen.

Worked examples

An engineer at Level 10 posted at a project area draws Rs. 4,250 a month, or Rs. 51,000 over twelve months at the site. Level 10 is at or above Level 9, so the higher slab of cell R3H2 applies. The figure is unaffected by the cell of the pay matrix the engineer occupies within Level 10, because the matrix rate is flat within each slab.

A draughtsman at Level 6 at the same site draws Rs. 3,375 a month, or Rs. 40,500 over twelve months. The two employees are at the same site under the same declaration and draw different amounts solely because Level 6 falls in the Level 8 and below slab. The gap of Rs. 875 a month is the whole of the difference the pay system draws between them on this head.

Transfer changes both figures to nil. Because the allowance attaches to the posting and not to the employee, an engineer transferred from the project area to a divisional office in a town stops drawing it from the date of the transfer, whatever the stage of the project. Conversely, an employee posted into a project area part-way through a month draws it for the period of the posting under the ministry’s own rules for the allowance, which the matrix left untouched.

What the Committee on Allowances decided

The Committee on Allowances accepted the 7th CPC recommendation on Project Allowance without change. Paragraph 5.4.21 of its report of 27 April 2017 sets out the pre-revised rates, the recommended cell R3H2 rates of Rs. 3,400 and Rs. 2,700, the single demand it received, and its conclusion that “the recommendations of the 7th CPC on Project Allowance may be accepted without any change”. Serial 132 of the Committee’s summary table records the outcome in one word: accepted.

That matters because the Committee is where many allowance figures moved. It was constituted by Department of Expenditure Office Memorandum dated 22 July 2016 under the Finance Secretary, after the Cabinet referred every allowance other than dearness allowance to it on 29 June 2016 and directed that allowances continue at existing rates meanwhile. Of the 34 modifications the Cabinet approved on 28 June 2017, the Committee on Allowances had proposed 13. For a large number of allowances the Committee’s figure, not the Commission’s, is the one being paid.

For Project Allowance the two coincide, so the 7th CPC report can be cited for the rate. The only demand before the Committee came from the Department of Atomic Energy, and it was refused.

Tax treatment

Project Allowance is taxable in full as salary. Rule 280 of the Income-tax Rules, 2026, which prescribes the allowances exempt under serials 12 and 13 of the Table in Schedule III to the Income-tax Act, 2025, carries no entry for it under that name or any equivalent description of a construction-site allowance.

The nearest entries are serials 1, 2 and 3 of the rule 280(2) Table, which exempt a Special Compensatory (Remote Locality) Allowance up to Rs. 7,000, Rs. 4,500 and Rs. 1,500 a month at the places covered by Tough Location Allowance-I, II and III respectively, each available only where no exemption is claimed at serial 4, 5 or 9. Those entries attach to the remote-locality allowance, which is a different entitlement from Project Allowance even where the two cell rates coincide.

The exemptions are unavailable in the default regime in any event. Section 202(2)(a)(ii) of the Income-tax Act, 2025 computes default-regime total income without the exemptions at serials 12 and 13 of the Schedule III Table, other than the survivors rule 280(3) preserves, being travel on tour or transfer, transfer packing and transportation, daily allowance and conveyance in the performance of duties, plus the transport allowance for an employee who is blind, deaf and dumb or orthopaedically handicapped. An employee who has not opted out of the default regime under Section 202(4) therefore pays tax on the whole of the allowance. For the comparison see old versus new tax regime and income tax for central government employees.

Bearing on the 8th Central Pay Commission

No figure for Project Allowance after the 8th Central Pay Commission exists. The commission was constituted by the Ministry of Finance notification dated 3 November 2025 and has not reported, so its treatment of the Risk and Hardship Matrix, of the two-slab design and of the 25% escalator is unknown.

Three questions on this allowance are genuinely open and will be settled by that commission rather than by anything already on the record. Whether the matrix survives as a single grid. Whether the derivation of the hardship cells from the parts of the Special Compensatory (Remote Locality) Allowance is revisited, given that the 7th CPC carried that pricing forward without fresh costing. And whether the escalator continues to move in 50-point blocks, which has produced exactly one revision since 1 January 2016.

Until the 8th Central Pay Commission reports and the Government accepts its recommendations, the position is cell R3H2 of the matrix at Rs. 4,250 and Rs. 3,375 a month, on the conditions of admissibility that the administering ministry applied before 2016.

Frequently Asked Questions (FAQs)

What is the current rate of Project Allowance?

Rs. 4,250 a month for Level 9 and above and Rs. 3,375 a month for Level 8 and below, with effect from 1 January 2024. Those are the cell R3H2 rates of the Risk and Hardship Matrix, which were fixed at Rs. 3,400 and Rs. 2,700 from 1 July 2017 by Department of Expenditure Resolution No. 11-1/2016-IC dated 6 July 2017 and raised by one 25% escalator step when dearness allowance reached 50%. The matrix rate carries no dearness allowance of its own.

Which cell of the Risk and Hardship Matrix does Project Allowance sit in?

Cell R3H2, and only that cell. Paragraph 8.10.75 of the 7th Central Pay Commission report lists the allowances the cell subsumes: High Altitude Allowance Cat-I, Tough Location Allowance-II, Project Allowance, Compensatory (Construction or Survey) Allowance and Hydrographic Survey Allowance other than for non-surveyors. There is no second, higher cell for a harder project area, and the summary of recommendations at serial 132 records the allowance as retained and rationalised to be paid as per cell R3H2.

Who is eligible for the Project Allowance?

A central government employee posted at the place of construction of a major project, to compensate for the lack of schools, markets, proper housing and medical facilities there. Paragraph 8.10.40 of the 7th Central Pay Commission report records that it is mainly paid to Railway employees whose offices are in a project area and who have to reside within a nearby locality. The detailed conditions are those of the administering ministry’s own pre-2016 orders, which paragraph 8.10.66 expressly preserved.

What was the Project Allowance before the 7th CPC?

Rs. 2,250 a month for employees above Grade Pay 5400 and Rs. 1,500 a month for others, as recorded at paragraph 8.10.40 of the 7th Central Pay Commission report and repeated in the Committee on Allowances report of 27 April 2017. The 7th CPC replaced the two grade-pay slabs with the two pay-level slabs of the matrix, taking the higher rate to Rs. 3,400, a rise of 51.1%, and the lower rate to Rs. 2,700, a rise of 80%.

How was the cell R3H2 rate arrived at?

By applying a factor of 1.5 to the rates of Special Compensatory (Remote Locality) Allowance Part C, which paragraph 8.10.75 states in terms. Part C paid Rs. 2,250 a month above Grade Pay 5400 and Rs. 1,800 for others, giving Rs. 3,375 and Rs. 2,700, rounded to Rs. 3,400 and Rs. 2,700. The Project Allowance rate was therefore not derived from the Project Allowance at all, which is why the two slabs rose by different percentages.

Can Project Allowance be drawn along with Tough Location Allowance or Special Duty Allowance?

The matrix neither permits nor bars it as a general rule. Paragraph 8.10.78 leaves concurrent admissibility where it stood before 2016, and paragraph 8.10.66 keeps each subsumed allowance’s own conditions of admissibility intact, so the administering ministry’s instructions decide the pair. The one express bar at paragraph 8.10.63 is narrower than it is often quoted: Tough Location Allowance is not admissible along with Special Duty Allowance, and where a place falls in more than one Tough Location category the higher rate applies. Neither limb names Project Allowance.

Can Project Allowance be drawn along with the Deputation (Duty) Allowance?

Yes. Paragraph 7.1 of the Department of Personnel and Training consolidated guidelines on deputation, Office Memorandum No. DOPT-1711629234974 dated 28 March 2024, allows a project allowance admissible in a project area in the borrowing organisation to be drawn in addition to the Deputation (Duty) Allowance. A special allowance granted in the parent department under Fundamental Rule 9(25) is treated differently under paragraph 7.2 and is not allowed in addition.

Does the Project Allowance rise when dearness allowance rises?

It rises by 25% each time dearness allowance rises by 50 percentage points, in the words of paragraph 8.10.66, and not otherwise. Dearness allowance on the revised pay structure stood at 0% on 1 January 2016 and reached 50% with effect from 1 January 2024, so exactly one step has fallen due. Dearness allowance is 60% from 1 January 2026, which is not a second 50-point rise, so the next step arrives only at 100%.

Did the Committee on Allowances change the Project Allowance?

No. Paragraph 5.4.21 of the Committee on Allowances report of 27 April 2017 concludes that the recommendations of the 7th CPC on Project Allowance may be accepted without any change, and serial 132 of the Committee’s summary table records the recommendation as accepted. The Department of Atomic Energy had asked for the allowance or its Project Concession to be extended at cell R3H2 to its project sites at Vizag and Chitradurga, and the Committee declined, noting that the allowance had been withdrawn for the department after 1974 once amenities were provided at its project sites.

Is the Project Allowance taxable?

It is taxable in full as salary. No entry in rule 280 of the Income-tax Rules, 2026 exempts it by name, and the nearest entries, serials 1 to 3 of the rule 280(2) Table, exempt a Special Compensatory (Remote Locality) Allowance up to Rs. 7,000, Rs. 4,500 or Rs. 1,500 a month at places covered by Tough Location Allowance-I, II and III. Those exemptions are unavailable in the default regime in any event, because Section 202(2)(a)(ii) of the Income-tax Act, 2025 computes default-regime income without the Schedule III serial 12 and 13 exemptions other than the survivors listed in rule 280(3).

What will the 8th Central Pay Commission do with the Project Allowance?

Nothing is known. The 8th Central Pay Commission was constituted by the Ministry of Finance notification dated 3 November 2025 and has not reported, so no post-8th CPC figure for the allowance exists. Until it reports and the Government accepts its recommendations, the position is cell R3H2 at Rs. 4,250 and Rs. 3,375 a month.

External references

References

Report of the Seventh Central Pay Commission (19 November 2015), paragraph 8.10.40: description of the Project Allowance and the pre-revised rates of Rs. 2,250 a month above Grade Pay 5400 and Rs. 1,500 for others; serial 132 of the summary of recommendations (retained, rationalised, to be paid as per cell R3H2).
Report of the Seventh Central Pay Commission, paragraph 8.10.75: contents of cell R3H2, the recommended rates of Rs. 3,400 and Rs. 2,700, the derivation by applying a factor of 1.5 to Special Compensatory (Remote Locality) Allowance Part C, and Track Maintainers I to IV.
Report of the Seventh Central Pay Commission, paragraph 8.10.61 (the two-slab design), 8.10.49 (Special Compensatory (Remote Locality) Allowance Part C at Rs. 2,250 and Rs. 1,800), 8.10.63 (the higher Tough Location rate and the bar on drawing it with Special Duty Allowance), 8.10.66 (salient features, the preservation of conditions of admissibility and the 25% escalator), 8.10.15 (Compensatory (Construction or Survey) Allowance) and 8.10.78 (concurrent admissibility).
Report of the Committee on Allowances (27 April 2017), paragraph 5.4.21 (Project Allowance, the Department of Atomic Energy demand and its refusal) and serial 132 of the summary table (accepted); Chapter 1 on the Cabinet reference of 29 June 2016 and the Committee’s constitution by Department of Expenditure Office Memorandum dated 22 July 2016.
Ministry of Finance, Department of Expenditure Resolution No. 11-1/2016-IC dated 6 July 2017: Government decision on the 7th CPC allowance recommendations, effective 1 July 2017, adopting the Risk and Hardship Matrix.
Railway Board RBE No. 87/2017, File No. PC-VII/2017/I/7/5/4 dated 10 August 2017: Risk and Hardship Allowance at cell R3H2 for Track Maintainers I to IV, effective 1 July 2017.
Department of Personnel and Training, Office Memorandum No. DOPT-1711629234974 dated 28 March 2024, “Consolidated guidelines on deputation/foreign service of central government employees”: paragraph 7.1 (project allowance drawn in addition to the Deputation (Duty) Allowance), paragraph 7.2 (special allowance under Fundamental Rule 9(25)) and paragraph 6.1 (the 5% and 10% rates and the ceilings of Rs. 5,625 and Rs. 11,250).
Income-tax Act, 2025, Schedule III, Table serials 12 and 13, Section 202(2)(a)(ii) and Section 202(4), read with the Income-tax Rules, 2026, rule 280(1), rule 280(2) Table serials 1, 2, 3 and 10, and rule 280(3).
Ministry of Finance notification dated 3 November 2025 constituting the 8th Central Pay Commission and notifying its terms of reference.