Lta Policy & Allowance Pdf Download
CiteHRCiteHR
 
HOME RISE NEW TEAM →|

lina_anil Started The Discussion:
Hello everybody, I have to draft a LTA policy for my Sr management. Can anyone help me as to how do I calculate the allowance for the same or how is the allowance calculated? Pls help
Leave Travel Allowance Policy is a welfare measure taken by the respective firm and as such there may not be uniformity in the policies even within a particular industry.

Normally, LTA shall be given to those who have completed at least one year of service. This is to ensure that the employee doesn't leave immediately after availing LTA. LTA will be in the form of journey fare reimbursement for the concerned employee as well as his family members. Some companies impose restrictions as to the number of family members like spouse, maximum two children or un married children or children of upto 21 years of age and so on and may include dependent parents also.

Normally, length of jouney to be undertaken shall also be stated in the LTA policy. It may be from place of employment to home town and back or anywhere in India or even world. The class of travel may be defined according to the category of employees and as such some will be eligible to travel by Air, some will be eligible to travel by AC class and so on.

The maximum amount which can be allowed shall be mentioned in the policy. Mostly, LTA will be paid according to the basic pay of the respective employee.

The frequency of LTA is yet another point to be considered while drafting an LTA policy. Employees may be eligible for LTA once in every year or once in two years or even three years. Normally, LTA accrues in two years.

Whether LTA lapses if unavailed should be clarified in the policy. Normally, LTA being reimbursement, it lapses if unavailed.

Generally, employees availing LTA may be eligible for advance also. The maximum percentage of advance to which employee is eligible shall be stated in the policy.

These are general guideline only. You can have your own arrangements in this regard according to the capacity of the company.

Regards,

Madhu.T.K
Hello Lina, Please see the attached. You will be able to get a thorough understanding bt what LTA is all abt, and based on that, u would be able to frame the LTA policy. Thanx and Regards, Ayona
Attached FilesProvided by community member ayonadehr. Register to join your network of peers.
File Type: doc LTA.doc (29.0 KB, 2070 views)
File Type: doc LTA (REDIFF).doc (30.5 KB, 1145 views)
File Type: doc LTA FUNDAMENTALS.doc (53.5 KB, 1360 views)
Thanks, this was a useful information which helped me framing our LTA policy as well :icon1:
you can produce form 16 issued by previous employer or income tax retuns filed by you. and show them that there was no LTA exemption claimed.
Hi All, No doubt the information provided by the Ayona rally useful. Plz find the policy use by our co. hope this will help you. To frame policy
Attached FilesProvided by community member sharpank. Register to join your network of peers.
File Type: doc LTA policy.doc (36.5 KB, 453 views)
Hello Vkpappy,

Its not the rule so far what i am aware about it that u can avail the tax exemption on LTA Amount only 1 in duration of 4 yrs.
you can avail LTA claim twice in 4 yrs period but its only 1 time tax free and 1 time taxable.

Regards,
Pragya



 
 
 
 





Found This Useful? +Vote Up This Via Google.  

Why Vote? User validation is extremely important for good content to prosper.
Disclaimer: This network and the advice provided in good faith by our members only facilitates as a direction towards the actions necessary. The advice should be validated by proper consultation with a certified professional. The network or the members providing advice cannot be held liable for any consequences, under any circumstances.

Cite.Co helps people come together to solve each other's problems on all aspects of professional life.
Share This Discussion:


3M Users, 100K+ Documents & 450K+ Discussions
About Us - Advertise - Contact Us - RSS   On Google+  
All trademarks and copyrights held by respective owners. Member comments are owned by the poster.
Privacy Policy | Disclaimer | Terms Of Service
Facebook Page | Follow Us On Twitter | Linkedin Network