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Rule 322 of Income Tax Rules - Initial contributions

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Last Updated: 01-04-2026

322. Initial contributions.[i]

The amount to be allowed as a deduction on account of an initial contribution, which an employer may make in respect of the past services of an employee admitted to the benefits of a fund, shall not exceed 8 1 3 % of the salary of the employee for each year of his past service with the employer.

 

[i] This Rule was inserted by N No. 22/2026 dt. 20-03-2026 wef 01-04-2026.