Central Government Employee? Modi govt issues new LTC cash voucher scheme clarifications before due date

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Updated: Mar 11, 2021 1:47 PM

LTC Cash Voucher Scheme for Central Government Employees: In a new Office Memorandum, the Department of Expenditure (DoE) under the Ministry of Finance has issued new clarifications

LTC cash voucher scheme LTC cash voucher scheme. Representative image

LTC Cash Voucher Scheme for Central Government Employees: In an Office Memorandum, the Department of Expenditure (DoE) under the Ministry of Finance has issued new clarifications on the LTC cash voucher scheme for Central Government Employees.

The new clarifications come after DoE received a number of queries relating to Special Cash Package equivalent in lieu of Leave Travel Concession Fare for Central Government Employees during the block 2018-21 announced by the Government on 12th October 2020.

Here’s what the new clarifications say for Central Government Employees:

Whether the full and final settlement of the bills pertaining to LTC Cash scheme is also to be ensured by 31st March 2021 without any scope of spillover to the next financial year?

Responding to this question, the DoE said: “As far as possible, the claims should be made and settled well before 31st March 2021, Ministries/Departments may consider settlement of only those claims/purchases made on or before 31st March 2021 beyond the due date i.e. 31st March 2021.”

ALSO READ | Central Government Employees: Is prior intimation must for availing LTC Cash Voucher Scheme?

Whether payment detail of digital instrument used for making payment against this scheme is to be furnished by the employee along with the claim?

The DoE said, “It is clarified that it is for the competent authority of concerned Deptt/PAO to decide on additional document for checking veracity of claim.”

Is the scheme admissible if payment is made digitally through friend, relative or any other person?

The Government said that it has already been clarified previously that for digital payment, an employee can use credit card of himself/herself, spouse or any family member.

For newly recruited officials having three Hometown LTC and one all India LTC, can they avail Special Cash Package for year 2020 in 2021 (upto 31-03-2021) if item is purchaged after 31-12-2020 but before 31-03-2021, that is without prior intimation to office?

“A newly recruited employee, whose LTC expires in December 2021 which remains unutilized, may be allowed to claim the cash package in lieu of what LTC till 31st March, 2021,” the DoE said.

What if the portion of the payment was made in cash as against digital payment for the entire transaction? Will it be eligible under the scheme?

“The portion of digital payment may be allowed to be reimbursed subject to other conditions as contained in the O.M. dated 12.10.2020,” the DoE said.

Earlier the government had released three sets of Frequently Asked Questions (FAQs).

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