LTC Leave Encashment under Rule 38-A of CCS (leave) Rules, 1972 – Explained

We provide here a discussion on relevant provisions and procedures for encashment of 10 days of leave while proceeding on Leave Travel Concession.  It is applicable both for All India LTC and Home Town LTC.

Prior to 1997, encashment of Earned Leave up to a maximum of 300 days was allowed only at the time or retirement.  When a Government Servant quits service or resigns, the encashment was restricted to a maximum of 150 days.

The first instruction for allowing the encashment of Earned Leave while proceeding on LTC came in the year 1997.  In the Office Memorandum No: 14028/7/97-Estt.(Leave) dated 7.10.1997 it was ordered by the Government that the encashment of earned leave while proceeding on LTC is allowed subject to the condition that total encashment of Earned leave allowed to a government servant including EL encashment for LTC while in service should not exceed maximum limit of 300 days.

Due to this restriction, there were no much takers as the encashment of EL while in service would reduce the maximum days of EL that was allowed to be encashed at the time of retirement.

For more details about this earlier restriction check this Office Memorandum No: 14028/7/97-Estt.(Leave) dated 7.10.1997.

After implementation of Sixth Pay Commission report, this restriction was totally removed.  As per Office Memorandum F.No: 31011/4/2008-Estt.(A) dated 23.09.2008, Government Officers are allowed to encash ten days Earned Leave at the time of availing of LTC to the extent of sixty days during the entire career.  The leave encashed at the time of LTC will not be deducted from the maximum amount of earned leave encashable at the time of retirement.

Check this Office Memorandum F.No: 31011/4/2008-Estt.(A) dated 23.09.2008 for more details

Further, in the Office Memorandum No: 14028/4/2009-Estt.(L) dated 03.06.2009, it was decided by the Government that encashment of earned leave is allowed upto 10 days at the time of availing LTC without any linkage to the number of days and the nature of leave availed while proceeding on LTC.  We can utilse other forms of leave such as CL while proceeding on LTC for saving EL for encashment at the time of retirement and yet avail EL encashment for LTC.  This change is really a welcome one.

For more details check this Office Memorandum No: 14028/4/2009-Estt.(L) dated 03.06.2009.

Procedure for availing EL Encashment:

Apply for leave in the prescribed form with a declaration that LTC is intended to be availed.  A request for encashment of EL while proceeding on LTC is also be furnished simultaneously.  The said request could be made in the following format.

Download APPLICATION FOR ENCASHMENT OF EARNED LEAVE FOR L.T.C. PURPOSE

26 Comments

  1. I would like to Know what rate will DA be paid if I leave HQRS at 0600 hrs to Delhi and return to HQRS by 2300 hrs on the same day? Please help/ any OMs referance.

    1. If your official duty including travel time is more than 12 hrs you will be paid 100% of DA applicable to the place you are working (take the case of Delhi-It’s A1 city as per old TA/DA rules). If your official duty including travel time is less than than 12 hrs but more than 6 hrs you will be paid 70% of DA applicable to the place you are working. For less than 6 hrs tour no DA is applicable.

      1. Unfortunately we are being paid Rs 135/- only. quoting a statement from Swamy’s Handbook ” …if … return is on same day only Rs 135/- will be paid even if it is to an A1 city”, Kindly clarify… any Govt. Order no. will help. Thank you

  2. You have left your HQ (new delhi) at 0600 hrs and returned from tour on the same day on 2300 it means you have spent 17 hrs on duty as a tour

    hence you are entitled to pay full DA (as per A-1 class city) for the tour concerned.

  3. SIR, I HAVE 04 CHILDREN IN WHICH TWO CHILDREN BORN EARLIER FROM 1987 AND TWO CHILDREN BORN AFTER 1990. I HAVE CLAIMED CEA OF MY TWO ELDEST CHILDREN. CAN I ENTITLED TO CLAIM NEXT TWO CHILDREN WHICH BORN AFTER 1990 . PLEASE CLARIFY CNA I CLAIMED OR NOT.

  4. Sir, I transfer on regular basis from Mumbai to Surat in the year 2009. i claimed my transportation charges on personnel effect in prevouse year. Now Govt. enhace the charges on personnel effects as X,Y,Z classification cites in june 2010. Can I claim the enhace charges on personnel effects in TA-DA. if yes then how i claimed it.

  5. I have entered into department of posts in the year 1996, but I could not avail LTC of any block before block 2006-09.  Is there any provision to avail LTC for the past blocks now.
     
    Rees.

  6. Sir, I propose to avail LTC for B.Y. 2006-09 (ext. upto 31.12.2010) and leaving on 28.12.2010. I am availaing EL from 28.12. to 3.1.2011. My office is saying that 10 days encshmant is not be given to me as I am not availing E. leave with in 31.12.2010 and EL of 1.1.2011 to 3.1.2011 are for the next block year. Please advice.

    1. Dear SK
      Your admin is totally Wrong. Encashment of leave for LTC is no way connected to Block years. Thus you are eligible for 10 days encashment.

  7. Can husband and wife working in Central Government office, avail individually encashment of EL for the purpopse of LTC. Kindly refer the OO/OM in this regard.

  8. sir I wish to avail hometown LTC for my wife who is non working . am I allowed to encash 10 days EL to enable me to bear the expenses ( stated purpose of allowing leave encashment.)? I dont intend to avail of my hometown LTC in this block.

  9. Sir,
    I would request you to kindly clarify my point raised earlier regarding whether spouse of Govt. servant (also a government servant) can avail leave encashment when she prefers LTC claim only for children, but travels with them availing earned leave

  10. Government may consider in extending the LTC block Year 2006-09 upto 31/03/2011 from 31/12/2010. This wiould benefit more Government Employees who could not avail the opportunity due to non availability of Train Ticket/LTC-80 air ticket. This extention will have little impact on the Government Budget, since govt may get more from Tourism. This will bring more Govt. Employees in a cheerful mood for which this facility it. What the others’ say?

  11. Dear Sir/Madam, My question is that my transferred order was issued 26/11/2009 but but relieved on 31/12/2009 and i joined new station(posting place) on 01/01/2010 without unavailed joining time. Then what my Unavailed joinging time is eligible to Earned Leave account. my transfered was made without my request.

  12. Sir,

      while I was working as a Group-B non gazetted officer in department of Posts I have been promoted to a Group- B Gazetted post  purely on temporary and adhoc basis w.e.f 1.6.2009 and I have been continuing in the same post since then.  I have been denied Productivity linked Bonus with effect from 1.6.2009 onwards saying that I have been working in a Gazetted post.  I would like to know whether one working in a gazetted post purely as temporary and ad-hoc basis is not eligible for Bonus.  If eligible kindly intimate the relevant Government order please.

    Rees.
     

  13. Sir,
    I have paid Rs.21000/- as service tax on payment if installments for the purchas3e of a residential accommodation applicable from July 2010. Please advise me whether I am eligible for the deduction of the said amount from the taxable income or not.

    1. No. There is no exemption available for amount incurred for service tax under Income Tax provisions

  14. Sir,
    The officer went on LTC in the block year 2006-09 on E.L from 20.12.10 to 27.12.10 and the officer is availing 10days Earned Leave Encashment for the block year 2006-09 in the month of Dec’2011. As per LTC rule can we allow 10 Days Leave encashment for the said period.

  15. i am working in delhi govt . i want to avail ltc for the block year 2010-2013(extended period) but my office says that there is no order for extended period. can you tell me the order regarding this.

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