Gratuity exemption limit

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

19 July 2013 I read that the exemption limit for gratuity received is Rs.10 Lacs.I this exemption applicable to all the kind of employees or only those employed in a public sector.Please give your opinion

Rupesh Jain

Rupesh Jain (Expert)
Follow

19 July 2013 1) 1/2 month salary for each complete year
2) 10,00,000/-
3) actually received amount

whichever is less is exempted under incometax

Aashish Tiwari

Aashish Tiwari (Expert)
Follow

19 July 2013 As per act, gratuity received by government employee is fully exempt irrespective of any limit. This limit is for employee covered under gratuity act..
It is very important to understand the definition of employee under the Act. Employee means any person (other than an apprentice) employed on wages to do any skilled, semi- skilled, or unskilled, manual, supervisory, technical or clerical work, whether the terms of such employment are express or implied and whether or not such person is employed in a managerial or administrative capacity. However it does not include any such person who holds a post under the Central Government or a State Government and is governed byany other Act or by any rules providing for payment of gratuity.
Regards

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

Join the CA Students WhatsApp Community for ICAI Updates, Trending Courses & Notes!

Similar Resolved Queries

Unanswered Queries

Popular
Recent

Trending Online Classes

Direct Tax Laws & International Taxation May 26,Sept 26 & Jan 27

CA Arvind Tuli

Enroll Now
Audit Fast Track Recorded Batch For May 26,Sept 26 & Jan 27

CA Aarti Lahoti

Enroll Now
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English

CA Bhanwar Borana & CA Shubham Keswani

Enroll Now

view all classess

Meet our CAclubindia PRO Members

Samruddhi Agrawal

Rampal Saini

Raj Jaggi

CA jignesh daiya

vinod

Subscribe Now

Gratuity exemption limit

Similar Resolved Queries

Trending Online Classes

Meet our CAclubindia PRO Members

Quick Links

Browse by Category

Latest Job Openings

Senior Executive

Manager- Finance and Compliance

GST CONSULTANT

GST CONSULTANCY

Accountant

CA Final

Article Assistant

Associate CA