NEW DELHI : Central government employees can submit multiple lists of goods and services purchased in their own name to take advantage of the LTC (Leave Travel Concession) cash voucher program, according to the Ministry of Finance.
The Department of Expenses, under the Ministry, has published a set of frequently asked questions (FAQ) about the LTC cash voucher scheme, clarifying that an employee can also take advantage of the scheme using the applicable LTC rate without charging the license.
On October 12, the government announced the LTC cash voucher scheme under which central government employees can purchase goods or services with a GST rate of 12 percent or more to take advantage of the benefit.
Until now, employees got LTC benefits only on trips made, or had to give up the amount.
The Ministry said that employees can take advantage of the scheme using the applicable LTC fee without charging the license.
“Spending must be in accordance with the prescribed ratio for the LTC fee,” he said.
For a query on whether the scheme would be applicable if a particular LTC that is intended to be used for the scheme has been partially used by oneself or by family members, the FAQ said: “This scheme is applicable to the LTC rate not used during the block year (2018-21) “.
On whether an employee with four family members eligible for LTC can make use of the scheme for less than four members, the Ministry said that an employee can take advantage of the scheme in part, that is, for the LTC part of the eligible family.
“Since this is an optional scheme, if any family member’s LTC rate has not been used for this purpose, those members can use LTC subject to the extension instructions under the LTC rules.”
The FAQ further clarified that multiple invoices would be accepted, but purchases should be made within the current financial year ending in March.
“The purchase should have a GST of 12 percent or more and the payment should have been made through digital mode,” he added.
He said the refund would be based on producing an invoice with GST details.
“As far as possible, the claim should be made and resolved well before March 1, 2021 to avoid last-minute rush and subsequent lapses.”
In addition, the invoice that is presented for reimbursement under the scheme must be in the name of the employee who uses the scheme.
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