Please clarify that at time of separation what are rule as per factory act or labour law irrespective of company policy
1) leave encasement should be on gross or (basic+da)
2) is there any ceiling of maximum days for leave encasement
3) is leave encasement taxable
Please give Labour law/Factory act reference for all points.
From India, undefined
11) leave encasement should be on gross or (basic+da)
2) is there any ceiling of maximum days for leave encasement
3) is leave encasement taxable
Please give Labour law/Factory act reference for all points.
From India, undefined
Answer to queries
1)Average salary (basic salary + dearness allowance) of the last 10 months before the employee’s retirement or resignation
2) Exemption under Section 10(10AA) of IT Act
Other Important Points:
If you encash your leave days more than once during your work history, the maximum exemption of Rs. 3 lakh is applicable to the total amount you earn as leave encashment income from all jobs. So if you have already claimed exemption on Rs. 1 lakh after resigning from one job, then in the next jobs you will have a maximum of Rs. 2 lakh available as exemption.
Factories ACt,Shops and Establishment acts have provsions for Leave encashment.
Kindly read them as relavant to your factory/office etc.
From India, Pune
1)Average salary (basic salary + dearness allowance) of the last 10 months before the employee’s retirement or resignation
2) Exemption under Section 10(10AA) of IT Act
Other Important Points:
If you encash your leave days more than once during your work history, the maximum exemption of Rs. 3 lakh is applicable to the total amount you earn as leave encashment income from all jobs. So if you have already claimed exemption on Rs. 1 lakh after resigning from one job, then in the next jobs you will have a maximum of Rs. 2 lakh available as exemption.
Factories ACt,Shops and Establishment acts have provsions for Leave encashment.
Kindly read them as relavant to your factory/office etc.
From India, Pune
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PF Contribution on Leave Encashment - Clarification by EPFO.pdf
SC -PF judgment on No PF on Leave encashment.doc
EPFO Circular Leave Encashment.jpg