Discuss the provisions relating to Voluntary Retirement u/s 10 (10C)

 If any employee of Public Sector Company or any other company or any authority established under any act or any corporation or cooperative society or university or Indian institute of technology established under any central or provincial act or any management institute notified by central government, takes retirement from his service voluntary, whole amount received or receivable in this connection shall be exempt upto a maximum limit of Rs. 5, 00,000.An exemption of maximum Rs. 5, 00,000 shall be allowed. 

The advantage of such exemption upto Rs 5, 00,000 shall also be given to employees of such concerns which are very famous for all over India or state and these concerns are notified by central government.

If any assessee gets sum under such scheme in installments, he will also be entitled to avail this exemption upto a total limit of Rs. 5, 00,000. Least of the following will be exempt from tax:

i) Actual compensation amount received

ii) Salary of 3 months service period of full year service length

iii) Remaining month of service * salary at the time of retirement

iv) Maximum amount Rs 5, 00,000 [Meaning of Salary- Basic salary + Dearness Pay +Dearness allowance (if it is under terms of employment) + Commission at fixed percentage on sale (if any)]

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