The Central and State Government employees or employees or PSUs (Public Sector Undertakings) can enjoy LTC air booking facilities. Incidentally, the employees recruited by educational institutions which have been recognized by the Educational Board or any University can also claim this discount. The LTC or Leave Travel Concession refers to a component of your salary which is provided by the employer to you for your travel with your family members every year. It can be paid monthly wise although it is declared to be an annual component. It is important to understand that such concessions are going to be only for “family members”. This will include children and spouse; you may claim for two children only and not more. Additionally, it will also cover siblings and parents who may be wholly dependent on you.
For doing LTC air booking, you are expected to provide some important documents, such as the official identity card and that of all family members who will be traveling with you. You have to mention the specific fare you are getting as discount and you can enjoy the ticket validity for a year and not more. You are also free to buy these tickets at any time you wish to. For any changes to the flight timings or for refunds and cancellations, you have to pay fees.
Tips to do the LTC air booking right:
- When the documents and relevant identification proofs are not present when you are checking in or you arrive at the boarding gate, the tickets fares are forfeited and they automatically become non-refundable. So, you may be denied the right to board the aircraft in absence of necessary IDs.
- LTC will also be considered on an annual basis which starts from January1st of a year to December 31st of that year. It is possible to claim the LTC only two times within a 4-year period. When you have claimed more than twice, remaining concession becomes taxable income. However, if you fail to claim this at all or if you manage to claim only a single time, you may easily carry forward the concession to the subsequent block.
- You can enjoy the concession when the journey is done by air and you have availed of the economy class fares for the shortest route of a national carrier. This needs to be under stricter control as many government employees misuse this clause by claiming as they wish instead of for the shortest route, as stated.
- You may enjoy the LTC concession by rail when you buy tickets for AC first class for the shortest routes or for the amount expended, whichever may be lower.
- Moreover, the exemptions will always be assessed according to the actual expenditure; so, if you have claimed Rs 40,000 when you are entitled to Rs 50,000, you end up getting Rs 40,000.
- The exemptions due to LTC will only be for LTC air booking, train booking and bus booking. It will never cover expenses such as accommodation costs and taxi charges.