Sandeep Bagga (HR Manager) (77 Points)
09 June 2021Hi
Our company is recovering notice period on gross salary and paying leave encashment on basic salary. Is it possible to have different basis for notice period and leave encashment ?
CA. Sourav Sarkar
(Chartered Accountant )
(24583 Points)
Replied 10 June 2021
CMA Poornima Madhava
(CMA)
(13112 Points)
Replied 10 June 2021
Corporates usually have internal policies which are more beneficial to them.
Leave salary for the purpose of exemption (or otherwise) under income tax act is calculated on basic + DA.
yasaswi gomes
(My grammar is 💯 good I)
(7290 Points)
Replied 10 June 2021
Gross salary is not deducted. So it is not used. Does your company give profit bonus for high employee turnover? No one paid me profit of 3% for turning out everyday as well.
yasaswi gomes
(My grammar is 💯 good I)
(7290 Points)
Replied 10 June 2021
Ok now I understand why my colleagues used to work recklessly so that one’s mind and body will attenuate ebullience and fall I’ll and take leave. That is why there is chaos n the floors and it is encouraged as well.
yasaswi gomes
(My grammar is 💯 good I)
(7290 Points)
Replied 10 June 2021
I meant ‘ones body and mind gets attenuated of ebullience and fall ill.’
CAclubindia
