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No. 21(2)/2015-E.II  (B)
Government of India
Ministry of Finance
Department of Expenditure

New Delhi, Dated- 6th August, 2015

OFFICE MEMORANDUM

Subject:-Grant of Transport Allowance to Central Government employees.

Reference is invited to Ministry of Finance, Department of Expenditure O.M. No. 21(2)/2008-E.II(B) dated 29th August, 2008 regarding grant of Transport Allowance to Central Government employees, consequent upon implementation of the recommendations of the Sixth Central Pay Commission (6th CPC).

2. The Government has since considered the re-classification of cities/towns/localities as per Census-2011 (population criteria) for the purpose of Transport Allowance. Accordingly, the President is pleased to decide the revised classification of cities, towns and localities, for the purpose of grant of Transport Allowance at higher rates to Central Government employees, as per Annexure-I. Therefore, the table below para ‘1’ of O.M. dated 29.08.2008 stands partially modified as under:-

Employees drawing Grade Pay of Rates of Transport Allowance admissible per month
Cities  classified  as per Annexure-I All cities, towns and localities, other than those included in Annexure-I
Grade Pay of Rs. 5400/- and above Rs. 3200/- plus Dearness Allowance thereon Rs. 1600/- plus Dearness Allowance thereon
Grade  Pay  of  Rs. 4200/-,  Rs. 4600/- and Rs. 4800/- Rs. 1600/- plus Dearness Allowance thereon Rs. 800/- plus Dearness Allowance thereon
Those drawing  Grade pay below Rs. 4200 but drawing pay in pay band equivalent to Rs. 7440/- and above
Grade pay below Rs. 4200 and pay in pay band below Rs. 7440/- Rs. 600/- plus Dearness Allowance thereon Rs. 400/- plus Dearness Allowance thereon

3. The revised classification ofcities/towns/localities for the purpose of grant of Transport Allowance shall take effect from 1st April, 2015.

4. The orders will apply to all civilian employees of the Central Government. The orders will also be applicable to the civilian employees paid from the Defence Services Estimates. In respect of Armed Forces personnel and Railway employees, separate orders will be issued by the Ministry of Defence and the Ministry of Railways, respectively

5. All other conditions mentioned in Department of Expenditure O.M. No. 21(2)/2008-E.II(B) dated 29.08.2008 shall remained unchanged.

6. In so far as the persons working in the Indian Audit and Accounts Department are concerned, this Order issues in consultation with the Comptroller and Auditor General of India.

7. Hindi version is attached.

(Subhash Chand)

Director

Annex 1

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One Comment

  1. Apoorva Jain says:

    Whether the Dearness Allowance on Transport Allowance shall be considered as transport allowance for the purpose of exemption of transport allowance in income tax i.e. Rs. 1600/-

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