Redundancy pay taxability

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Deepika (Querist)
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09 July 2019 Hi

Pls advise whether redundancy pay received from employer on termination of job is exempt from tax?

If yes under which section can I claim the exemption??

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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09 July 2019 It's a capital receipt exempt from tax.

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Deepika

Deepika (Querist)
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09 July 2019 Thank you for your reply.

Deepika

Deepika (Querist)
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09 July 2019 Employer has deducted TDs on it including the redundancy amount as part of total salary that means in the case I can exclude the redundancy part from total salary income and proceed for itr,pls correct if I mis understood.

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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09 July 2019 Exclude it and show it under exemption schedule under retrenchment compensation under section 10(10b).

Deepika

Deepika (Querist)
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09 July 2019 Thank you for guiding.