Tax Saving on compensation after laid off

Income Tax
1

Dear Team,

I have been laid off and got some compensation amount. And too after tax deduction…

My Gratuity amount is received after tax deduction…

Kindly help / guide or suggest me the way I can make some refund…

I opted for old regime…Home loan is also running…

Looking for your advise.

2

Hello @Ginni

The gratuity amount is exempt in certain conditions. To understand the complete taxation on gratuity you can read the below article:

For any tax advisory, you can book a slot using the below link where a tax expert from Quicko’s team can connect with you, understand your total income for a financial year and help file the taxes.

Book a MEET

Thank you.

3

Dear Surabhi,

I have not claimed LTA in my F&F in Dec’2023

Can I claim if travelled out of India and returned in Apr;2024 after a visit of more than 2 months.
Thanks

4

Hey @Ginni,

LTA can only be claimed in case of domestic travels and international trips aren’t covered.

5

Dear Team,

Thanks for your reply.

need some more clarification. For example my gratuity amount is say 5lacs

Than in that scenario. Is there any deduction against gratuity amount?

  1. Gratuity: This is a retirement benefit offered to employees by their employer. If you are a government employee, gratuity received on retirement is fully exempted from taxes. For private sector employees, the least of the following will be exempted on retirement:
  2. ₹20 lakhs
  3. Actual gratuity amount received
  4. Last salary (basic + DA) * number of years of employment * 15/26
6

Hey @Ginni,

In the case of gratuity, the least of the following is exempted from taxes if you are a private-sector employee:

  1. ₹20 lakhs
  2. Actual gratuity amount received
  3. Last salary (basic + DA) * number of years of employment * 15/26

You can calculate these figures based on your salary. If the employer has deducted excess TDS, you can claim a refund of the same by filing your ITR. Here, as you mentioned that you will be opting for the old regime, you can also account for various deductions and calculate your final tax liability for the year.