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Section 10 ITA 1961 lists EXEMPTIONS from total income. Which is NOT exempt under Section 10?

AAgricultural income (Section 10(1)) (cf. Income Tax Act 1961, Section 10)
BReceipts under life insurance policies subject to conditions (cf. Income Tax Act 1961, Section 10)
CGifts received from relatives subject to conditions (cf. Income Tax Act 1961, Section 10)
DSalary income of Government employees received for services rendered in their official capacity
Answer & Solution
Correct answer: D. Salary income of Government employees received for services rendered in their official capacity
1. Section 10 Income Tax Act 1961 enumerates exemptions from total income. 2. EXEMPTIONS include: (i) Agricultural income (Sec 10(1)); (ii) Sum received from HUF as member; (iii) Income of partners in firm; (iv) Leave travel concession (10(5)); (v) Gratuity (10(10)); (vi) Leave encashment (10(10AA)); (vii) Pension (10(10A)); (viii) Compensation (10(10B)); (ix) Voluntary retirement (10(10C)); (x) Provident fund interest (10(11)/(12)); (xi) Gifts up to Rs 50,000 from non-relatives; gifts from relatives (10) exempt; (xii) Receipts under LIC. 3. SALARY INCOME of Government employees is generally TAXABLE under Section 17 (head 'Salaries') — NOT exempt under Section 10. 4. Hence option B is the correct exception. _Source: CS Executive Paper 4 Tax Laws (ICSI BoS) + Income Tax Act 1961 + CGST Act 2017 — Income Tax Act 1961, Section 10_
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