7th CPC Travelling Allowance Rules : Finmin clarification for Daily Allowance
F. No. 19030/1/2017-E.IV
Government of India
Department of Expenditure
E.IV Branch
North Block, New Delhi.
Dated 01st February, 2018
OFFICE MEMORANDUM
Sub :- Travelling Allowance Rules — Implementation of the Recommendations of the Seventh Pay Commission.
Consequent upon the issuance of this Department’s O.M. of even number dated 13.07.2017 regarding implementation of recommendations of 7th CPC on Travelling Allowance (TA), various references are being received in this Department seeking clarification regarding admissibility of Daily Allowance (DA) in case Govt. employee avails free boarding and lodging.
2. The 6th CPC had changed the old concept of Daily Allowance by introducing reimbursement of Hotel Accommodation, Food Bill and Taxi Charges on production of vouchers for the same. Since this was a new concept, therefore, option was given to the employees to choose either the old 5th CPC single rate of DA or the new system of DA based on reimbursement of expenses as per 6’n CPC. The 7th CPC has recommended to continue the concept of reimbursement of Hotel Accommodation, Food Bill and Taxi Charges with the exception that vouchers are not required to be produced for Food Bills.
3. The matter regarding admissibility of DA in case of free boarding and lodging, has been considered in this Department. Daily Allowance is given to the Govt. employees as a reimbursement of the expenditure incurred by him on tour for his stay, food and travel at that station. In case of free boarding and lodging, the Govt. employee, if incurring any expenditure on local travel, can claim the same as per Para 2 E (i) and (iii) of the Annexure to O.M. of even No. dated 13.07.2017. The earlier system of giving 25% of DA is being discontinued. Also, after implementation of 7th CPC recommendations, the facility of DA at 5th CPC rates is done away with.
4. This is issued with the approval of Secretary (Expenditure).
Hindi version is attached.
(Nirmala Dev)
Deputy Secretary to the Government of India
Is the hotel will be charged GST on the Accommodation @ Rs.990/- per day.