How to compute 10 month average salary if

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Puran Dangwal (Querist)

16 April 2011 Dear Sir
Could anyone please help clear my doubt.
If an empoyee gets leave salary without completing 10 months. How can we compute the 10 months average salary (One of the four criteria to give exemption).

Regards
Puran Dangwal

Just forget to mention. This leave salary one employee gets while leaving job.

Kapil Gupta

Kapil Gupta (Expert)

16 April 2011 Boss leave salary received during the service period is fully taxable.

Puran Dangwal

Puran Dangwal (Querist)

16 April 2011 Hi Sir,
The leave salary employee gets while leavin the job. Please support your view

Regards
Puran

Puran Dangwal

Puran Dangwal (Querist)

17 April 2011 Hi
Anyone , please help.

Regards
Puran Dangwal

CA PARAS BAFNA

CA PARAS BAFNA (Expert)

17 April 2011 Max. 30 days leave allowed for completed year in service for leave encashment. Fraction of a year is not considered. So leave salary is not eligible for exemption 10(10AA(ii)

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