Recovery of shortfall in notice period not reimbursed

Hi, 

If the previous employer has deducted an amount from full and final settlement due to shortfall in notice pay, say Rs 10,000 and bond of Rs.50000 . And the amount is not reimbursed by next employer. Can the employee claim that  amount of Rs. 20000 as loss/expense for that year? 

Replies (4)
hie sneha,
notice period is an policy, evry company may follow diff diff rule of notice period.
further, the balance shorfall should be deducted from his earned leave just after the notice.
further more, it should be ur gross salary based calculation and any notice pay payble by u was not ur accrued salary u can claim as deduction,
also as soon as ur next employer pay u ur notice pay reimbursement such shall be treated ur taxable income.
hope u cleared now about ur query.

Hi, 

U mean to say that if the next employer does not reimburse. The shortfall amount paid is tax deductible for the employee? 

not deductible dear, its nor allowed for exp.
as ur salary was not accrued to say

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
ARTICLESHIP 16 September 2026
CA Article Trainee

SR BAGAI & Co.

New Delhi

CA Inter

View Details
Company
ARTICLESHIP 01 September 2026
Articles

Saini Pati Shah & Co LLP, Chartered Accountants

Mumbai

CA Foundation

View Details
Company
20 September 2026
Semi Qualified CA

Navin & Associates

Mumbai

CA Inter

View Details
Company
04 September 2026
CA inter Or ca finalist

A Jaiswal and company

Lucknow

CA Final

View Details
Company
19 September 2026
CA/Semi-CA/BCom

Pravin Sarvaiya

Mumbai

CA Inter

View Details
Company
Featured 21 September 2026
Consultant - Reporting

Finrep Advisors LLP

Mumbai

CA

View Details
Company
Featured 12 September 2026
Assistant Manager - Finance & Compliance

Naveen Fintech Pvt Ltd

Kolkata

CA Inter

View Details
Company
ARTICLESHIP 04 September 2026
Accounts Executive

Hema Yashwanth & Associates

Chennai

B.Com

View Details