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Overview of Gratuity Calculation and Tax Exemption Rules in India

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Overview of Gratuity Calculation and Tax Exemption Rules in India

Analysed 23 Oct 2026·2 sources analysed·Business
Overview of Gratuity Calculation and Tax Exemption Rules in IndiaPreviousNext

Gratuity is a lump sum paid by employers to employees for long-term service, calculated based on last drawn salary and years of service under the Code on Social Security, 2020. Eligibility typically requires five years of continuous service, with exceptions for death, disablement, and fixed-term employees. For example, an employee earning Rs 50,000 monthly with 10 years of service may receive around Rs 2.88 lakh. Tax exemption on gratuity depends on factors like service duration and salary, with a maximum tax-free limit of Rs 20 lakh for most private-sector employees.

Sentiment
50%
TBN's observations

First-hand measurement across 2 sources

We measured how 2 outlets covered this story. No outlet gave this story a measurable political slant — there is no left–right reading to report. Overall sentiment is neutral (50/100). Lens Score 32/100.

Outlets measured: economictimes, mint. See how each one headlined and framed the same story in the source comparison below.

AI analysis of 2 sources · Published under editorial oversight by The Balanced News
Analysed 23 Oct 2026· How this analysis is produced· Editorial standards· Corrections

AI Analysis

Sentiment — Neutral (50/100)

Sentiment was consistent across outlets (50–50/100), indicating broadly factual reporting rather than editorialising.

Coverage timeline

mint broke this story on 22 Oct, 01:43 pm. Other outlets followed.

22 Oct, 01:43 pm2 sources · 17 h23 Oct, 06:34 am
AI analysis by the TBN Bias Engine · beat methodology byMrunal Wange· Business & Economy Editor· editorial standards byOjas Kale
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1
mint22 Oct, 01:43 pm
Received gratuity money after leaving your job? Experts explain the tax-free limit; when you may have to pay income tax Mint
  • 2
    economictimes23 Oct, 06:34 am
    Gratuity calculator: How much will you get on 50,000 last drawn salary after 10 years? - Gratuity calculator: What can you get on Rs 50,000 pay after 10 years?
  • Who's involved

    Institutions and figures named across source coverage.

    Government
    Income-tax DepartmentGovernment of IndiaMinistry of Labour and Employment

    Story context

    Category
    Business
    Sources analysed
    2
    Last analysed
    23 Oct 2026
    Key entities
    GratuityIndian rupeeCalculatorSocial Security (United States)PensionThe Code on Social Security, 2020Lockout (industry)Strike actionLakhPrivate sectorIncome taxPublic sector undertakings in India