06 January 2017
If a person has worked for more than one or two organisation and was eligible for the gratuity there , whether his maximum ceiling of gratuity amount will be Rs 10 lakh including the gratuity received from different employers or this ceiling is for one organisation . Please clarify it.
06 January 2017
As per the first proviso of section 10 (10) of the Income tax which read as under it is clear that the Gratuity received from more than one employer shall be restricted to Rs. 10 Lakh which is miximum limit u/s. 4 of the payment of Gratuity Act, 1972 Provided that where any gratuities referred to in this clause are received by an employee from more than one employer in the same previous year, the aggregate amount exempt from income-tax under this clause shall not exceed the limit so specified :
10 January 2017
My question is not for the ceiling for exemption under income tax, it is for the ceiling for the payment of gratuity by the different employers.
10 January 2017
Section 4 of the Payment of Gratuity Act restricts the maximum amount of Gratuity entitlement from an employer not from all employers. The limit shall apply to each of the eployer
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