shiva786
4

Hi
If you have included the same in his CTC or monthly base salary however that is paid in regular intervals in those cases you need to incorporate the same on pro-rata basis in the final settlment
The EE is eligible for this (as per above) and this needs to be paid
However in case if you practice TDS you can ask for the proofs and provide me exemptions on the same or else deduct taxes and the EE can claim the exemptions on Medical & LTA later on in his next employer or while filing the Income Tax returns

From India, Pune
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