amit jain (Chartered Accountant) 22 November 2011
commuted pension means the lumpsum amount received and uncommuted means which is received in instalments
Sailza (STUDENT) 22 November 2011
Following is exempted from Commuted pension:
1/3 of the total pension.(If he also receives gratuity) or 2/3 of total pension(If he doesnt receive any gratuity)
Uncommuted pension is always taxable.
Z ( ) 22 November 2011
It is related to gratuity because for calculating the exemption for Pension u/s 10(10A) , if the assesse who has received gratuity also then his exemption limit is
Commuted amount / % of commutation x 100 x1/3
Commuted amount / % of commutation x 100 x1/2
Those who receive gratuity also, receive less exemption on pension
Tripti ( CA, MBA, CPA) (no) 23 November 2011
Uncommuted pension - Fully taxable
Commuted pension -
a) Govt employee - Fully exempted
b) Non - Govt employee ( received gratuity also ) - 1/3 of Full value of pension
c) Non - Govt employee ( not received gratuity ) - 1/2 of Full value of pension
kiran (CA FINAL) 23 November 2011
COMMUTED PENSION : CERTAIN % OF PENSION TO BE RECEIVED IN FUTURE IS COMMUTED
BY THE RETIRED ONE. WHAT EVER THE AMOUNT COMMUTED RECEIVED IN LUMSUM IS
EXEMPTED IN THE HANDS OF GOVT EMPLOYEES.
IN CASE OF PRIVATE EMPLOYEES 1/3 OR 1/2 OF PENSION WHICH HE IS ENTITLED TO
RECEIVE IS EXEMPTED.
EG. PRIVATE EMPLOYEE COMMUTED 25% & COMMUTED PENSION IS rS. 50000. THE 1/3 OR 1/2
OF (50000/25%) IS EXEMPTED.
UN COMMUTED PENSION: WHICH MEANS REGULAR AMOUNT OF PENSION RECEIVED BY
RETIRED ONE EVERY MONTH WHIS IS TAXBLE AS SALARY .
SAPAN KUMAR PAUL (Officer In-charge) 03 October 2015
Would u please explain in details about the pension recd. by my father for the month of September'15 as per the following particulars.
1. BASIC : 7561
2. DA : 8544
3.MED : 500
4. OTHERS : 0
5. COMMUTED : 2007
6. INCOME TAX DEDDUCTION : 0
7. NET PENSION : 14598 CREDITED ON 28/09/2015
With regards & best wishes,
Sapan Kumar Paul
Ghanshyam Lohar (ACCOUNTANT) 03 June 2021
If someone does not cummuted of his pension during his retirement and after some time he and her wife gets mishappening then Will his children's eligible to get commutation of pension ?