GUWAHATI: A 4% increase in Dearness Allowance (DA) with effect from December 1, 2023, has been approved by the Assam State government as of a recent decision on the State Cabinet Meeting undertaken on November 7.
This signifies that State government employees will see a 4% rise in their DA. Furthermore, the arrear DA for the period from July 2023 to November 2023 will be disbursed in two equal installments.
The first installment, totaling 50% of the arrear DA, will be distributed in December, and the remaining 50% will be paid in April 2024, concluding the distribution of the arrear DA.
This increase raises the total DA for State government employees to an overall of 46%.
Dearness allowance is a cost of living adjustment that the Government pays to public sector employees and pensioners. It is calculated as a percentage of the basic salary to curb the effect of inflation. As per the provisions of the Income Tax Act 1961, it is compulsory to declare the tax liability concerning DA when filing an ITR.
