Government employees from both central and state levels can benefit from the LTC Cash Voucher Scheme 2025. This scheme helps you use your Leave Travel Concession (LTC) money in a new way. Instead of travelling, you get cash vouchers to buy certain items or pay certain insurance premiums. Here’s everything you need to know about the scheme, how it works, and how you can sign up.
Overview of LTC Cash Voucher Scheme 2025
The LTC Cash Voucher Scheme 2025 lets eligible government employees get cash vouchers for travel expenses they couldn’t use earlier because of the pandemic. You can exchange these vouchers to buy non-food goods or pay insurance premiums using digital payments at GST-registered shops with at least 12% GST.
Using LTC Vouchers to Pay Insurance Premiums
The scheme has been updated so you can pay insurance premiums for policies bought between 12th October 2024 and 31st March 2025. This gives you a chance to get tax benefits and government reimbursements while following the scheme rules.
- Buy goods or services with 12% or more GST to use the voucher benefits.
- For big purchases like cars, send self-attested photocopies of bills.
- Using LTC cash vouchers doesn’t need leave encashment; that’s optional.
- If you’re retiring before 31st March 2025, settle vouchers and bills before your retirement date.
- Policies bought before 12th October 2024 don’t qualify for this scheme.
Main Details of LTC Cash Voucher Scheme 2025
| Name | LTC Cash Voucher Scheme 2025 |
| Launched by | Finance Minister Nirmala Sitharaman |
| Objective | To provide cash vouchers for travel expenses and purchase of specified items |
| Beneficiaries | Central and state government employees |
| Official site | – |
Main Objective of the LTC Cash Voucher Scheme
This scheme was started to help government employees who missed using their LTC because of COVID-19 travel restrictions. Now that travel is easier, they get cash vouchers valid till 31st March 2025. You can use these to cover travel costs or buy non-food items at GST-registered shops.
Benefits of the LTC Cash Voucher Scheme
This scheme supports you, the government employee, by covering your travel expenses or shopping while also boosting the economy. You need to spend three times the value of the travel vouchers on goods or services with 12% GST or more. For example, if your LTC vouchers are worth Rs 6000, you must spend Rs 18,000 on such non-food items. This helps increase consumer spending and GST collections.
Government announces the Leave Travel Concession (LTC) Cash Voucher Scheme to support employees during the pandemic and boost the economy. — MyGovIndia
Who Can Take Part?
- You must be a resident of India.
- You have to be a working employee of the Central or State Government.
Main Features to Remember
- This scheme encourages more shopping and spending to raise demand in the market.
- Purchases have to be digital and from GST-registered shops only.
- Only non-food items with at least 12% GST qualify under this scheme.
- The scheme helps increase GST revenue and promote economic growth.
- Leave encashment is optional to get benefits.
- Public and private sector employees can also benefit.
- The government expects to create around Rs 1 lakh crore extra demand through this scheme.
Value of LTC Fare Vouchers
| Employee Type | Voucher Value (Rs.) |
|---|---|
| Business class air fare | 36000 |
| Economy class air fare | 20000 |
| Rail fare (any class) | 6000 |
How to Sign Up for LTC Cash Voucher Scheme
Right now, there’s no clear information on how to register for the LTC Cash Voucher Scheme 2025. Keep an eye on official government sources for updates. We will share new information as soon as it’s available.
Make sure to keep your bills and digital payment receipts ready to get the benefits of this scheme. Stay updated so you don’t miss out on this chance to save money and help the economy.