Get leave encashment exemption while filling revised return

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I am non Government employee.

In FY 2016-2017, I resign my first company and immediately joined the second company. In FORM 16 of my previous company, I haven’t get leave encasement exemption benefits under section 10(10AA).

I ask for the reason and in response company say “Since there is a lifetime cap on leave encasement exemption, company do not give the exemption for leave encasement”.

Is there any such restriction to get leave encasement exemption benefits under section 10(10AA)? Form 16 does not show any leave encasement exemption but can I claim it while filling revised return? And How to claim it?

Replies (1)

Have you got  Leave encashment  money. For Non- Govt employees upto 3 Lakhs  exemption is there u/s 10(10AA).

Did they deduct TDS from it.

Ask for a certificate from previous company that xxx amt was paid to you as leave encashment.

While filing return you must take full salary from two companies minus leave encshment. In exempt income you should write this. You may get Notice u/s 143(1) a bcoz form 16 and return will differ. Quickly reply to that.

But you should get the form 16 changed citing Income tax rules.


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