New Delhi | Jagran Business Desk: Central Government employees are set to receive another respite after the good news on Dearness Allowance which came recently. In its recent order, Department of Expenditure at the Ministry of Finance has underlined that the central government employees who could not claim their Leave Travel Concession (LTC) benefit on or before May 31 can file claims even for the time beyond the due date, that is, May 31.

“Representations have been received in this Department to extend the date of settlement of bills/claims beyond 31.05.2021 in view of the situation existing due to the Covid-19 and difficulties being faced in settling the claims/bills. It has been decided that Ministries/Departments may consider settlement of those claims/purchases made on or before 31.03.2021 beyond the due date i.e. 31.05.2021," Department of Expenditure at the Ministry of Finance said in a clarification.

Before the pandemic, the LTC claims were to be made before March 31, which is the end of financial year. But in the wake of COVID-19 pandemic, the date for LTC claims was first extended to May 31 through a memorandum which was issued on May 7. Many Central government employees, however, could not submit their LTC claims and their own organisations, therefore, requested the government to extend the dates for LTC claims.

The government had introduced Leave Travel Concession (LTC) cash voucher scheme last October to boost the consumption by letting Central government employees to claim tax benefits against bills of goods and services purchased instead of travel expenses. The amount required to be spent is three times the deemed LTC fare in total. Under the scheme, bills of goods and services with GST of 12 per cent or above can be claimed. The payment made for the goods or services, however, must mandatorily be made via digital mode.

Posted By: Mukul Sharma