Continue to LawRato.com with Google


Gratuity calculation when partnership converted into pvt ltd.

I joined in partnership company in 1999. In 2011 this company converted in to PVT.Ltd. now company calculating gratuity in 2 part . 1999-2010 and from 2011-2018. no gratuity settled at the time of conversion nor any documents, no pF no ESI. management,and other things are same . only converted in to pvt. is it right to calculate gratuity in 2 parts? what is your advise for labors.

Answers (1)

Gratuity is a payment made to an employee by the employer either at the time of retirement or when he is leaving the job. It is given to the employee once he has completed at least 5 years of continuous service. It is mandatory for any employer in the private sector or public sector who has 10 or more employees to pay gratuity to all employees. The payment of Gratuity Act was passed in the year 1972. According to Article 10 (10) iii of the Income Tax Act, exemption for gratuity amount received by individuals who are not covered under Gratuity Act of 1974 are as follows:
Half month’s Salary* X Completed years of service

Googling your legal issue online?

The internet is not a lawyer and neither are you.
Talk to a real lawyer about your legal issue.

Popular Labour & Service Lawyers

Advocate Wg Cdr Ajit Kakkar (Retd)
Dwarka, Delhi
18 years Experience
Advocate Harish Malhotra
District Court, Gurgaon
21 years Experience
Advocate Shikhar Khare
Jangpura Extension, Delhi
5 years Experience
Advocate Jaspreet Singh Rai
Greater Kailash 1, Delhi
15 years Experience

"LawRato.com has handpicked some of the best Legal Experts in the country to help you get practical Legal Advice & help."

Disclaimer: The above query and its response is NOT a legal opinion in any way whatsoever as this is based on the information shared by the person posting the query at LawRato.com and has been responded by one of the Divorce Lawyers at LawRato.com to address the specific facts and details. You may post your specific query based on your facts and details to get a response from one of the Lawyers at LawRato.com or book a Detailed Consultation with a Lawyer of your choice to address your query in detail.

Legal Services

Email to HR

4.4 | 46 ratings
15 Min Intro call + Start to finish help - Personalised email drafted by a local experienced advocate
Create a Non Disclosure Agreement (NDA)

4.6 | 73 ratings
30 Min Intro call + Start to finish help - NDA drafted by a local experienced advocate
Legal Notice for Recovery of Dues from Employer

4.8 | 421 ratings
30 Min Intro call + Start to finish help
Create an Employement Agreement

4.6 | 203 ratings
30 Min Intro call + Start to finish help - Employement agreement drafted by a local experienced advocate
15 Minutes Labour / Service Advice Session by Phone

4.8 | 476 ratings
Legal advice and answers from a local experienced advocate about your labour / service issue.
Document Review - Non Disclosure Agreement (NDA)

4.6 | 64 ratings
Review + 30 Min phone call - NDA review by a local experienced advocate
Document Review - Employment Agreement/Appointment Letter

4.8 | 191 ratings
Review + 30 Min phone call - Employement Agreement review by a local experienced advocate
Create an Employment Termination Letter

4.2 | 45 ratings
30 Min Intro call + Start to finish help - Termination Letter drafted by a local experienced advocate
Similar questions

My husband retired on June 16 and died IN Aug 16. He did not receive PF , Gratuity from his employer before death. He has some outstanding salary also…

Read More

I worked with a company for 9 Years and 1 month. But he changed payroll in 9 Years and 1 month. I have asked the question in this situation, am I elig…

Read More

i was working in ltd company at a senior level and i have put in service of 4 years, 9 months and 15days, now company says i am not eligible for claim…

Read More

Husband was working in a company for 32 years. He resigned from the company on medical grounds. The gratuity was not fully settled and income tax also…

Read More

Talk to a lawyer for your legal issue