28 July 2013
My uncle has received leave encashment . he is a school teacher in a govt aided school & he has govt iD card & the govt provides salary to him. I want to know whether he will be considered a govt employee & whether his leave encashment is exempt as leave encashment to govt employee is exempt
28 July 2013
Leave encashment is exempt for Govt Employees only on retirement. During the continuance of the employment -leave encashment is taxable to all including the Govt employees. .
CAclubindia
