Navigating Tax Refunds for Gratuity and Leave Encashment: What Do I Need to Know?

Hi, I've resigned from my current organization and am eligible for Gratuity. This is the first time in my life I am receiving gratuity, and the amount receiving is below 2 lakhs. The leave encashment amount I am receiving is below 3 lakhs. I have read that these two are exempted from tax. The company has decided that they will not be exempting gratuity and leave encashment from tax since they will not be aware of my history and future with respect to these two. They have provided me the F&F, doing a TDS for these, and are waiting for my approval.

My questions are:

1. Can I get a refund of this while filing the returns for 2009-2010?
2. In that case, under what head is gratuity and leave encashment considered?
3. What all documents are required from the employer for getting the tax refund on these two? How must these amounts be mentioned in the respective documents?

Thanks in advance.

Dear, if you have received gratuity as per the provisions of the Gratuity Act, then it is not taxable. However, leave encashment is taxable.

Regards,
J.S. Malik

Thanks for correcting me with regard to leave encashment. In the case of Gratuity, if tax is deducted as TDS, what documents are required from the employer to get a refund while filing the returns? Thank you.