Calculate gratuity payable under the Payment of Gratuity Act, 1972.
Gratuity Amount
₹2,88,461.54
Formula: (₹50,000 × 15 × 10) / 26
Tax-Exempt Amount
₹2,88,461.54
Under Sec 10(10), Income Tax Act
Taxable Gratuity
₹0.00
Added to your salary income
Formula used: Covered under the Act: Gratuity = (Last Salary × 15 × Years of Service) / 26. Years are rounded up if 6+ months remain in the final year.
Tax exemption: The lower of actual gratuity and the ₹20,00,000 lifetime cap is exempt for non-government employees under Sec 10(10) of the Income Tax Act.
Note: The ₹20 lakh limit is cumulative across all employers in your lifetime.
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