Leave Encashment
This query is : Resolved
27 March 2009
In case of change in jobs in a year whether leave encashment received from previous employer if received below Rs 300000 is taxed or not U/s 10(10AA).Secondly whether this limit is based on cumulative basis or not.
27 March 2009
The first calculation will be propotionatly and in second one maximum exemption limit will reduce to (Rs 300000- Exemption granted earlier).
27 March 2009
It shall be exempted u/s 10(10AA) minimum of following
a) Actual amount received as leave salary
b) Rs. 300000/-
c) 10 * Average salary p.m.
d) To the maximum of 30 days (normally taken as 1 month) average salary for every completed year of service, subject to deduction for actual leave availed during the tenure of service.
Earlier deduction claimed for leave encashment:
While claiming the statutory amount (i.e. Rs.300000) any deduction claimed earlier as leave encashment shall be reduced from Rs.300000
a) Actual amount received as leave salary
b) Rs. 300000/-
c) 10 * Average salary p.m.
d) To the maximum of 30 days (normally taken as 1 month) average salary for every completed year of service, subject to deduction for actual leave availed during the tenure of service.
Earlier deduction claimed for leave encashment:
While claiming the statutory amount (i.e. Rs.300000) any deduction claimed earlier as leave encashment shall be reduced from Rs.300000
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Refund Annexure-B
- Sale of Equity shares for Purchase of Residential Property
- Nomination of Bank for refund in itr 2
- Section 56(2) of the Income tax Act 1961 , Gift to relative .
- Liable to deduct tds and 44ADA
- Payment to foreign customer
- TDS PROCEDURE ON SALE OF IMMOVABLE PROPERTY BY NRI
- Non issue of e way bill
- Subscription paid to foreign customer
- Gstr7 vs Gstr3b 2026
- GST Cancellation without jurisdiction
- Legal Opinion on Registrar's Refusal to Investigate a Society for Non-Renewal and Non-Compliance
- GST Refund_RFD-01
- Form10BD was uploaded successfully without any Error but after 24 hours, Form10BE are not available
- Annexure B utility for GST Refund
- Tax amount diff in Gstr1 and 3B in tax compare reports
- Tds on GST in connection with sale to public company
- Restoration of certificate of practice
- Regarding change in correspondence address in SSP portal
- No Compliences after incorporation
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
