Taxability of Leave encashment u/s [sec.10 (10) AA]

by Vikram | 7 January 2014
Every organisation gives its employees a certain number of days which they can utilise to avail as Holidays without any pay cut. These types of Holidays are commonly known as Pleasure Leaves (PL), Casual Leaves (CL), and Sick Leaves (SL) etc… In order to encourage employees not to take unnecessary holidays or in other words take holidays only when required, the employer gives the option of encashing the balance number of leaves at the end of every year or on Retirement. Usually an organisation gives up to 30 days as the total of all the leaves mentioned above.    For e.g. AB... [More]

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