07-20-2009, 03:23 PM
07-21-2009, 03:41 AM
As per clause 13, under part 1 of Second Schedule,
Any amount of Gratuity received by an employee is exempt from tax, subject to the following limits.
<b>Full amount</b> is exempted if it is received from Government,Local authority, statutory body/corporation or gratuity fund approved by commissioner of Income Tax.
<b>Rs. 200,000 is exempted</b>, if this has been received from an employer under a scheme approved by board.
<b>In other cases</b>, lesser of 75,000 or 50% of the amount received is exempted.
Best Regards,
Any amount of Gratuity received by an employee is exempt from tax, subject to the following limits.
<b>Full amount</b> is exempted if it is received from Government,Local authority, statutory body/corporation or gratuity fund approved by commissioner of Income Tax.
<b>Rs. 200,000 is exempted</b>, if this has been received from an employer under a scheme approved by board.
<b>In other cases</b>, lesser of 75,000 or 50% of the amount received is exempted.
Best Regards,