Exgratia other than gratuity received by an employee Rs. 20 lacs on VRS is taxable ?? Can he claim relief us 89 ?? Or can he claim Rs. 5 lac exemption under section 10 ??
Plz reply
Yes. it taxable under profit in lieu of salary under sec 17(3).
For claiming relief under sec 89 he should rendered continuous service of 3 years and left period of service should be more than 3 years.
you should not claim vrs exempt under sec 10 to claim benefit under 89
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