Leave Trave Allowance (LTA)

Hello dear friends
I want to Know Some details of Salary Component LTA and how LTA is calculated and do the company had any benefits in give LTA to employees .
Rgrds
Vinay

As per my understanding the Leave Travel Allowance is subject to a maximum of Rs:15,000 Per annum and should be reimbursed once in 2 years so as to avail of a tax benefit .
Some companies would offer part or/ a maximum of Rs:15,000 per annum to their employees as part and parcel of their Cost To Company (CTC ) .
hope this information helps you.
Best wishes

Hai:
Leave Travel Allowance is part of the CTC and it is an annual component subject to a maximum of Rs:15K; and in some org it is given based on the role also and it varies
Regards
Shanthi

Hi Vinay,
LTA is part of salary , and 10% of Basic , it is deducted from salary every month end of year you can claim on the basis of producing the tickets after taking minimum 4 days leave , if any one is not claim than it will go to companies accounts , which is benefit for company .

with the new tax regiment i think LTA is going to be taxed / scrapped.
For status quo, maintain Rs15,000 limit ( tax free ) anything amount more than this attracts taxation.
hope this ends the matter.

Dear Sir,
I am working in Himachal Pradesh in my salary structure LTA is deducted 8.335 on CTC but in delh region I hear it is 10 to 20 % on ctc which one is right please suggest.
Thank s in advance
please mail me [Login to view]

Hi Deepak,
The LTA is usually calculated at 10% Basic Salary. You should not calculate it against the CTC. CTC is a different component that consists of your Basic, Allowances, Retirals, Bonus Etc.
Regards,