[This Excel Utility can prepare at a time 50 employees Individual Salary Structure of each employee+ Individual Salary Sheet for Print + Automatic Form 16 Part B for both Govt and Non Govt Employees]
Exemption available u/s 10 to salaried employee is summarised below for ready recokner. Section Income Maximum Exempt Amount Conditions
1) 10(10) Gratuity. Rs. 10,00,000 - Gratuity payable when employee has served minimum service of 4 years & 240 days. - Amt payable = No. of years completed X Last drawn Basics X 15 /26
2) 10(10AA) Leave encashment Rs. 3,00,000 - Any amount paid while continuation of the service with the said organisation is fully taxable. - Amt payable = Leave balance at the time of leaving organisation X avg. basic salary of last 10 months / 30 days - Maximum leave allowable per year to be considered as 30 days while calculating leave balance on leaving organisation
3) 10(10B) Retrenchment Compensation Rs. 3,00,000 - Subject to maximum : An amount calculated as per section 25F (b) of the Industrial Disputes Act, 1947; or actual amount. - NA when received in accordance of Govt Scheme
4) 10(10C) Compensation for voluntary retirement (V.R.S) Rs. 5,00,000 As per Rule 2BA of the Income Tax Rules.
5) 10(10CC) Tax on non-monetary perquisites paid by the employer Actual amount paid NA
6) 10(11) Payments received from a provident fund Actual amount paid See Section for more details
7) 10(12) Accumulated balance in a recognized provident fund Actual amount paid See Section for more details
8) 10(13A) House rent allowance Least of - 1. HRA actually paid 2. Rent paid Less 10% of Salary. 3. 50% of Salary if residing in Kolkata, Mumbai, Delhi or Chennai and 40% of Salary in other cases. NA
