02 April 2015
Dear venkatsh ji salary is taxable in the hands of employees on receipt or accrual basis whichever is early. Hence the amount received by your son would be taxable. As far as amount paid to company is concerned your son can not avail the benefit of same as income tax act does not contain the provision for allowance of auch expense under the head salary. I know it's a hardship on employees but it's like it and wish your son for good increment and career ahead.
CAclubindia
