prakash (B.Com) (133 Points)
26 December 2024Hello Experts,
In my previous Company ( Emplyee size was 1500 ) I got Gratuity credited even I have served less than 5 years as they were having some LIC Grautity Trust.
But in my curreent Employer (Emplyee size 45 Emplyee) they do not have type of Trust and they said I will get Gratuity after completing 5 years.
Now, If anyone can guide and I can advise to my current Employer about to formation of Gratuity Trust and if it really benifits to Employee and Employer.
Thank you in advance.
Rama chary Rachakonda
(Master in Accounts & Lawyer email ID:ramachary64@gmail.com voice no:9989324294)
(5686 Points)
Replied 26 December 2024
The trust is typically funded by the employer, and the funds are invested to generate returns.
Benefits of Gratuity Trust *Employee Benefits*
2. *Tax Benefits*: Gratuity received from a trust is exempt from tax up to ₹20 lakhs.
1. *Tax Benefits*: Employers can claim tax deductions on contributions made to the trust.
2. *Appoint Trustees*: The employer will need to appoint trustees to manage the trust fund.
Advising Your Current Employer You can share the following points with your current employer:
6 days Certification Course on GST Practical Return Filing Process
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