TDS On Gratuity - LIC
Anand Jathan
Dear Charyji,
Thank you and your team for the constant efforts in securing the benefits for our Agents Community from time to time from LIC Management. Also, understand that your efforts to secure enhanced Gratuity of Rs. 3 Lacs has been fruitful.
It has been observed that Branch Offices deduct 10% Income Tax while making Gratuity payment to the eligible Agents. This, they say, is as per the higher office instructions “to make payment with TDS as per rules”.
No one wants to really go through or look into the prevailing Tax Laws, but carry on the “as per rules” legacy.
As per my understanding, any Gratuity received (whether covered under Gratuity Act, 1972 or not), is exempt under Section 10(10)(ii) and 10(10)(iii) of the I.T. Act.
May I request you to kindly look into this and inform the correct position in this matter ?
With Kindest Regards,
K-3/104, Kishor Darshan
N. Dutta Marg, Four Bungalows
Andheri (West), Mumbai - 400 053
Mobile : 09820056466
Tel. No. 022 - 26371286/26371210
Telefax : 022 – 26373156
Email: anand....@gmail.com, jatha...@rediffmail.com
Website : www.jathananand.com
The Million Dollar Round Table (MDRT), The Premier Association of Financial Professionals, is an international, independent association of more than 37,000 members, or less than 1 percent, of the world's Life Insurance and Financial Services Professionals in more than 80 nations and territories.
MDRT members demonstrate exceptional professional knowledge, strict ethical conduct and outstanding client service. MDRT Membership is recognized internationally as the standard of sales excellence in the Life Insurance and Financial Services business.
Future Meetings:
2013 – June 9-13 Philadelphia, Pennsylvania, USA
2014 – June 8-12 Toronto, Canada
2015 – June 14-18 New Orleans, Louisiana, USA
2016 – June 12-16 San Diego, California, USA
2013 – October 9 – 12 Scottsdale, Arizona, USA
Shyamal Chakraborty
Dear Mr. Jathan Ji,
Thanks for your sugession in this regard. We are assuring you that we will take up the matter definitely with the management on 5th of November at Central level meeting.
with regards,
Shyamal Chakraborty
Secretary General.
LIAFI
|
|
Anand Jathan
ANAND A JATHAN, RFC, CertCII(UK)
Shiban K Dhar
This is an issue which perhaps needs some understanding from our management. Gratuity payments all over the country are Tax-Free. Why are we paying Tax at source on that needs to be explained & understood. May be we are missing on some imp. point which our management knows better. I would really appreciate if we are made aware of it.
Shyamalji, I also want to very seriously talk of our office allowance which becomes due for payment to the Club members on 1st.Sept. every year.After that day,as our experience has shown over the past many years, it gets paid only after few months that too after a RIGOROUS follow up & lot of appeasement at various levels including the Branch & the DO I have been wondering as to why is it so year after year.To my knowledge it is payable to agents who QUALIFY the membership conditions.Those who donot qualify the membership conditions donot get any allowance. With that understood,how is it that the agent is GRINDED at all levels to deposit more business FIRST so that the concerned branch manager will RECOMMEND his case for payment. I don't know if you also face the same situation in your branch or not,and if yes,then what do you do,and if not HOW & WHY. Would appreciat your kind response on this please.Thanks & best wishes dear.
Shiban Dhar
Albert Desouza
Subject: Re: (LIAFICHARY:8118) TDS On Gratuity - LIC
To: liafis...@googlegroups.com
From: shiba...@yahoo.com
Date: Fri, 2 Nov 2012 07:52:00 +0000
AJAY JAIN
Dear Dada Shyamal Chakraborty ji,