Leave encashment for recently retired govt employee

ITR 141 views 3 replies

Hi,

My uncle retired on January 18. He received some leave encashment. I have a two part question.

1. What's the taxation on income from leave encashment during retirement? -- I read that psu has limit but for a fully govt employee, there is no tax

2.Which section to declare in ITR-1 the leave encashment amount?

Replies (3)
leave encashment received by government employees on retirement is fully exempted . you can show it under exempted income in the ITR
Yes... I agreed to Mr Rama Krishnan.
Thanks for the reply.. Section will be ? I see B1.V under deduction??


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