How is leave encashment Exemption calculated?

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1

Leave encashment received by govt employees is tax-free. leave encashment received by private employees are a minimum of the following:

  1. Amount received as leave encashment
  2. The maximum amount stated by the government, i.e., 25,00,000
  3. last 10 months of basic salary and DA
  4. Salary per day*unutilized leave (consider a maximum of 30 days leave per year) for every year of completed service
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