Sir:
I am an MNC company employee retiring in July 31,2010 after 39years and 7 months of service. As per wage agreement with Union and Management, I am covered under the Payment of Gratuity Act 1972. As per Gratuity Act, section 10(10) employees are divided in to 3 categories.
1. Central/state and local authorities employees.
2. Employees covered under the payment of Gratuity Act 1972
3. Other employees not covered under gratuity act.
Kindly enlighten me in which category myself is covered and how to calculate my Gratuity. My Basic + DA will be around Rs.43,700.00. As per information,our company management calculate gratuity on the following formula i.e.
10 months average salary immediately preceding the month in which the person retires divided by 30 x 15 x no.of years.In my case is this calculation correct ? Also please let me know, whether I am eligible to get gratuity as per the new amendment and whether I have to pay any income tax for my gratuity amount.
Kind regards
P.S. Sivan Pillai.
I am an MNC company employee retiring in July 31,2010 after 39years and 7 months of service. As per wage agreement with Union and Management, I am covered under the Payment of Gratuity Act 1972. As per Gratuity Act, section 10(10) employees are divided in to 3 categories.
1. Central/state and local authorities employees.
2. Employees covered under the payment of Gratuity Act 1972
3. Other employees not covered under gratuity act.
Kindly enlighten me in which category myself is covered and how to calculate my Gratuity. My Basic + DA will be around Rs.43,700.00. As per information,our company management calculate gratuity on the following formula i.e.
10 months average salary immediately preceding the month in which the person retires divided by 30 x 15 x no.of years.In my case is this calculation correct ? Also please let me know, whether I am eligible to get gratuity as per the new amendment and whether I have to pay any income tax for my gratuity amount.
Kind regards
P.S. Sivan Pillai.