Question ID :
It is learnt that the Leave encashment received by employees of LIC at the time of retiremnt is also eligible for full exemption u/s.10(10AA) after 01.03.2018 . can anyone support this view with notification ?
Answer ID :
Sep 16, 2020
Income From Salary
In case of any other employee, least of the following shall be exempt:
Actual amount received
10 months Average Salary1
Average Salary x leaves at the credit of an employee (leaves cannot exceed 30 days for every completed year of service
Average Salary = Average of salary drawn in the last 10 months immediately preceding the date of retirement.
Salary includes basic pay, dearness allowance to the extent it forms part of retirement benefits and percentage wise fixed commission on turnover, LIC NON GOVERNMENT EMPLOYEE
Hari Beldona on
Aug 25, 2021