Dear Friends, I have prepared 10 basic fundamentals about LEAVE TRAVEL ASSISTANCE/ALLOWANCE . I HOPE THAT PEOPLE WHO ARE NOT AWARE WOULD BENEFIT FROM THESE . KATYANA
From India, Gurgaon
35From India, Gurgaon
Thanks for the post. I have a question based on LTA. How a person can claim leaves under LTA at the time of leaving the organization? Apart from the allowance, do we also get some leaves? Neha
From India, Lucknow
From India, Lucknow
Hi Katyana,
Very well documented. Is there any way LTA can be put under Flexible basket component and then can teh employee show international travel if he avails say a holiday to bangkok with family.
In case you have information about how can employee be benefitted from Car Maintenance & Petrol Reimbursement, please share it with us.
Thanks
swagata
From India, Calcutta
Very well documented. Is there any way LTA can be put under Flexible basket component and then can teh employee show international travel if he avails say a holiday to bangkok with family.
In case you have information about how can employee be benefitted from Car Maintenance & Petrol Reimbursement, please share it with us.
Thanks
swagata
From India, Calcutta
Hi, Swagtha,
As per LTA law( it comes in INCOME TAX ACT, SEC 10(5)), U CANNOT TRAVEL OUTSIDE TO CLAIM LTA. It is meant to travel inside India.
Yes a employee could be benefitted to save tax, if he opted the reimbursement component of CAR MAINTAINENCE AND PETROL REIMBURSEMENT. To avail this , he needs to produce petrol bills and maintainence bills of car/2 wheeler. On submission of these bills, he can save tax.If he is not submitting the bills, at the end of financial year( Feb-march), the amount would be added in Spl Allowance , and after TDS deduction, he will get that month,s salary.
Hope i have clarified the query.
KATYANA
From India, Gurgaon
As per LTA law( it comes in INCOME TAX ACT, SEC 10(5)), U CANNOT TRAVEL OUTSIDE TO CLAIM LTA. It is meant to travel inside India.
Yes a employee could be benefitted to save tax, if he opted the reimbursement component of CAR MAINTAINENCE AND PETROL REIMBURSEMENT. To avail this , he needs to produce petrol bills and maintainence bills of car/2 wheeler. On submission of these bills, he can save tax.If he is not submitting the bills, at the end of financial year( Feb-march), the amount would be added in Spl Allowance , and after TDS deduction, he will get that month,s salary.
Hope i have clarified the query.
KATYANA
From India, Gurgaon
Hi Katyana,
That was good insight about the LTA.
But I need a clarification on:
1) Can LTA be claimed by all the employees of an organization?
2) OR only if it is a component in their CTC?
Thanks
Vidhya
From Canada, Calgary
That was good insight about the LTA.
But I need a clarification on:
1) Can LTA be claimed by all the employees of an organization?
2) OR only if it is a component in their CTC?
Thanks
Vidhya
From Canada, Calgary
Dear Friends ,
I need a few clarification on LTA .
I was associated with a company for 11 months 16 days (14 days short for a year ) . As per the CTC which was offered by the Company LTA was a part of the package . When I left the Company the notice period was short by 14 days , but I paid the notice pay of 14 days as per the Condition of Service . During the full and final the Accounts Department of the Company refused to pay the LTA for the year claiming that LTA can be claimed only if the Employee completes on year of service .
My argument to the Accounts was LTA was a part of the CTC offered to me , so pro rata computed LTA should be given as done in most of the Companies . 2nd argument was I ahd paid the notice pay of 14 days which was not only on basic but on full wages .
Any how the Accounts Department did not listen and declined by LTA . I could not request the HR as I was the HR Head there .
Can anybody guide me which provisions of the Law I can take guide to claim the LTA . or what process should I follow to claim the LTA . Its pity that guranteed amount of CTC is not being paid.
regards,
Tusher
From India, Mumbai
I need a few clarification on LTA .
I was associated with a company for 11 months 16 days (14 days short for a year ) . As per the CTC which was offered by the Company LTA was a part of the package . When I left the Company the notice period was short by 14 days , but I paid the notice pay of 14 days as per the Condition of Service . During the full and final the Accounts Department of the Company refused to pay the LTA for the year claiming that LTA can be claimed only if the Employee completes on year of service .
My argument to the Accounts was LTA was a part of the CTC offered to me , so pro rata computed LTA should be given as done in most of the Companies . 2nd argument was I ahd paid the notice pay of 14 days which was not only on basic but on full wages .
Any how the Accounts Department did not listen and declined by LTA . I could not request the HR as I was the HR Head there .
Can anybody guide me which provisions of the Law I can take guide to claim the LTA . or what process should I follow to claim the LTA . Its pity that guranteed amount of CTC is not being paid.
regards,
Tusher
From India, Mumbai
very informative.u have mentioned that unused lta is carried for next year.in other place u have also mentioned that,lta unused would be added to ur salary and taxed.are both the options there.say if it is added then when it would be added to my salary,which month
Hi,
Yes , out of 2 journeys, u can carry forward only one journey in a block of 4 years. If in case u are not taking 2 journeys in that block( current one is 2006-2009), it could be forwarded to next block( jan 2010--dec 2013),. In that case , it is mandotory to take your 1st journey in calendar year of 2010, otherwise at the end of that year it would get lapsed.
The rest of the 2 journeys in a block of 4 years are taxable.
I hope i have clarified your query
KATYANA
From India, Gurgaon
Yes , out of 2 journeys, u can carry forward only one journey in a block of 4 years. If in case u are not taking 2 journeys in that block( current one is 2006-2009), it could be forwarded to next block( jan 2010--dec 2013),. In that case , it is mandotory to take your 1st journey in calendar year of 2010, otherwise at the end of that year it would get lapsed.
The rest of the 2 journeys in a block of 4 years are taxable.
I hope i have clarified your query
KATYANA
From India, Gurgaon
Dear Katyana,
its really nice post and very informatic.
i would really appreciate it if you can post regarding the leave policy which is mandatory for all the companies to give it to employees.
also would like to know, we dont have LTA. is it mandatory for the company to give that kind of facility to the employee?
you can also email me to
Cheers,
Shilpa.
From India, Kochi
its really nice post and very informatic.
i would really appreciate it if you can post regarding the leave policy which is mandatory for all the companies to give it to employees.
also would like to know, we dont have LTA. is it mandatory for the company to give that kind of facility to the employee?
you can also email me to
Cheers,
Shilpa.
From India, Kochi
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