#THE VOLUNTARY SURRENDER OF SALARIES (EXEMPTION FROM TAXATION) ACT, 1961 
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##ARRANGEMENT OF SECTIONS 
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SECTIONS 
1. Short title. 
2. Exemption from taxes on income in respect of salaries surrendered in favour of Government. 
3. Provisions of section 2 to apply to allowances. 
4. Power to make rule. 
5. Repeal. 



#THE VOLUNTARY SURRENDER OF SALARIES (EXEMPTION FROM TAXATION) ACT, 1961 

##ACT NO. 46 OF 1961 

[6th December, 1961.] 

An  Act  to  provide  for  exempting  from  taxes  on  income  a  portion  of  the  salary  or  allowances 
  payable to any person who has in the public interest volunteered to forego it. 

  BE it enacted by Parliament in the Twelfth Year of the Republic of India as follows:— 

1. **Short title.**—This Act may be called the  Voluntary  Surrender  of  Salaries 
(Exemption from Taxation) Act, 1961. 

2. **Exemption  from  taxes  on  income  in  respect  of  salaries  surrendered  in  favour  of 
Government.**—Notwithstanding anything contained in the Indian Income-tax Act, 1922 (11 of 1922), or 
in any other law for the time being in force relating to taxation on income, no income-tax or super-tax 
shall be payable by any person— 

  (a) where his salary is paid out of the Consolidated Fund of India or of the Consolidated Fund of 
a  State, in  respect  of that part of the salary due to him for any period after the 
31st day of March, 1961 which he has, by a declaration in writing, volunteered to forego in the public 
interest; 

  (b) in any other case, in respect of that part of the salary which is due to him for any period after 
the 31st day of March, 1961 which has been, in the public interest, surrendered in favour of, and paid 
to, the Central Government in accordance with the rules made in this behalf by that Government; 

and such part of the salary shall not be included in his total income for the purposes of any law relating to 
taxation on income. 

3. **Provisions of section 2 to apply to allowances.**—The provision of section 2 shall apply in relation 
to any allowances due to any such person as is referred to therein for any period after the 
31st day of March, 1961 as they apply in relation to his salary. 

4. **Power to make rules.**—(1) The Central Government may, by notification in the Official Gazette, 
make rules to carry out the purposes of this Act. 

(2) Every rule made under this section shall be laid as soon as may be after it is made before each 
House of Parliament while it is in session for a total period of thirty days which may be comprised in one 
session or in  two  or  more  successive  sessions,  and  if,  before  the  expiry  of  the  session  immediately 
following the session or the successive sessions aforesaid both Houses agree in making any modification 
in the rule or both Houses agree that the rule should not be made, the rule shall thereafter have effect only 
in such modified from or be of no effect, as the case may  be; so however that any such modification or 
annulment shall be without prejudice to the validity of anything previously done under that rule. 

5. **Repeal.**—(1) The Voluntary Surrender of Salaries (Exemption from Taxation) 
Act, 1950 (61 of 1950), is hereby repealed. 

  (2) Notwithstanding such repeal any declaration made under the said Act shall be deemed to be a 
declaration made for the purposes of this Act. 