Railways order on LTC Cash Voucher

भारत सरकार/ GOVERNMENT OF INDIA
रेल मंत्रालय/MINISTRY OF RAILWAYS
(रेलवे बोर्ड) (RAILWAY BOARD)

 
No. E(W)2020/PS5-1/3 New

Delhi, dated 05.11.2020

The General Managers (P)
All Indian Railways &
Production Units.

The Principal Financial Advisers
All Indian Railways &
Production Units

Sub: Special Cash Package equivalent in lieu of All India Leave Travel Concession Fare for Railway Employees during the Block 2018-2021.

Ministry of Finance (MoF)/Department of Expenditure vide their OM F.No.12(2)/2020-EII(A) dated 12th October 2020 have notified a Special Cash Package (SCP) equivalent in lieu of “Leave Travel Concession Fare” for Central Government employees during the block 2018-2021 stating that in view of Covid-19 pandemic and resultant nationwide lockdown as well as disruption of transport and hospitality sector, Central Government employees are not in a position to avail themselves of LTC for travel to any place in India or their Hometown in the current Block of 2018-21. It has been further stated therein that with a view to compensate and incentivize consumption by Central Government employees thereby giving a boost to consumption expenditure, it has been decided that cash equivalent to LIC, comprising Leave Encashment and LTC fare of the entitled LTC may be paid by way of reimbursement if an employee opts for this in lieu of one LTC in the Block of 2018-2021 subject to certain conditions. MoF has also issued an FAQ on LTC Cash Voucher Scheme and further clarifications vide their OM F.No.12(2)/2020-EII(A) dated 20.10.2020 & 04.11.2020, respectively.

2. As the Railway employees are also facing a similar situation, it has been decided by the Competent Authority to extend the aforesaid SCP (ie. Cash equivalent to deemed AILTC fare and Leave Encashment), on the same terms and conditions as notified by MoF. The important conditions stipulated in MoF’s OM dated 12.10.2020 are reproduced below:-

(a) The employee spends the money of a larger sum than the entitlement on account of LTC on actual expenditure.

(b) Cash equivalent of full leave encashment will be allowed, provided the employee spends an equal sum. This will be counted towards the number of leave encashment on LTC available to an employee.

(c) The deemed LTC fare for this purpose is given below:-

(d) The cash equivalent may be allowed if the employee spends a sum 3 times of the value of the fare given above.

(e) The amount both on account of Leave encashment and fare shall be admissible if the employee spends (i) an amount equal to the value of leave encashment and; (ii) an amount 3 times of the cash equivalent of deemed fare, as given above on purchase of such items/availing of such Services which carry a GST rate of not less than 12% from GST registered vendors/service providers through digital mode and obtains a voucher indicating the GST number and the amount of GST paid.

(f) The admissible payment shall be restricted to the full value of the package [leave encashment as admissible for LTC and deemed fare] or depending upon the spending as per the example given at Annexure-A to MoF’s OM dated 12.10.2020.

3. The extant leave encashment instructions applicable to Railway employees also stand relaxed and modified in the lines of instructions contained in MoF’s above referred OMs, if the employee opts to avail the SCP.

4. The SCP will be admissible to all those eligible for AILTC facility in terms of Board’s letter No. E(W)2017/PS5-1/3 dated 10.09.2018 and Privilege Pass Surrender Certificate will be a mandatory prerequisite for availing SCP. Hometown LTC is not admissible under the optional AILTC scheme and hence SCP equivalent to Hometown LTC is not permissible.

5. Copies of MoF’s OMs referred under Para I above are enclosed as Annexure-I, II & III. It may be noted that if any further “instructions/clarifications in the context of SCP are issued/uploaded by MoF in their official website (ie. https://doe.gov.in), the same will be applicable to Railway Servants also on mutatis mutandis, with immediate effect and they will not be circulated again by the Ministry of Railways.

6. Financial aspects connected with the SCP will be clarified by the Associate Finance at all levels. However, if any clarification is required at Board’s level, reference should be made with the approval of PFA of respective Railway/PU to Finance Establishment Dte., who as Nodal Dte. in Board’s Office will examine and issue appropriate clarification.

7. This issues in consultation and with the concurrence of Finance Directorate of Ministry of Railways.

(V. Muralidharan)
Dy. Director Estt. (Welfare)-I
Railway Board