All Respected Members,
Please educate me that if we give gift (clothes, perfume etc) to an employee from company account, in which account this transaction should be recorded ?
Thanks for your precious time and efforts to reply this query.
My Videos (Accounts Officer ) (583 Points)
17 March 2024
RAJA P M
("Do the Right Thing...!!!")
(127169 Points)
Replied 18 March 2024
Yasaswi Gomes new
(Finance )
(4477 Points)
Replied 20 March 2024
Dr. Gift expense
Cr. Bank
As per section 194R of Income Tax Act, 1961, the TDS should be deducted at 10%. Businesses or professions are responsible for deducting TDS @ 10% if the total value of the gifts or perquisites given is more than INR 20,000 during a financial year for every recipient
Yasaswi Gomes new
(Finance )
(4477 Points)
Replied 20 March 2024
But how can they duduct tds on uniforms?
Dr. Uniform purchase 20k (including GST)
Cr. Tds 2k
Cr payables 18k
CMA Sagar Das
(Working in Manufacturing Comapny)
(119 Points)
Replied 21 March 2024
Section 194R does not apply to employees who receive benefits from their employers. Section 192 will apply to them.
RAJA P M
("Do the Right Thing...!!!")
(127169 Points)
Replied 21 March 2024
| Originally posted by : My Videos | ||
 |
Originally posted by : My Videos Originally posted by : RAJA P M Is that clothe means uniform...??? No. for casual use. Response awaited from Raja PM Sir. |
 |
What are the values of the clothes/perfume/others...???
Is that given as gift or any others...???
Yasaswi Gomes new
(Finance )
(4477 Points)
Replied 22 March 2024
Under Section 192, TDS is deducted at the time of actual payment of salary and not during the accrual of salary. It means tax will be deducted when your employer pays salary whether in advance or on time or in arrears (late payment).
My Videos
(Accounts Officer )
(583 Points)
Replied 22 March 2024
| Originally posted by : Yasaswi Gomes new | ||
|
Dr. Gift expense Cr. Bank As per section 194R of Income Tax Act, 1961, the TDS should be deducted at 10%. Businesses or professions are responsible for deducting TDS @ 10% if the total value of the gifts or perquisites given is more than INR 20,000 during a financial year for every recipient |
|
Dear Yassawi Gomes,
Thanks for your informative reply.
My Videos
(Accounts Officer )
(583 Points)
Replied 22 March 2024
| Originally posted by : Yasaswi Gomes new | ||
|
Dr. Gift expense Cr. Bank As per section 194R of Income Tax Act, 1961, the TDS should be deducted at 10%. Businesses or professions are responsible for deducting TDS @ 10% if the total value of the gifts or perquisites given is more than INR 20,000 during a financial year for every recipient |
|
Dear Yassawi Gomes,
Thanks for your informative reply.
My Videos
(Accounts Officer )
(583 Points)
Replied 22 March 2024
| Originally posted by : CMA Sagar Das | ||
|
Section 194R does not apply to employees who receive benefits from their employers. Section 192 will apply to them. | |
Dear Sagar Das,
Thanks for your reply.
My Videos
(Accounts Officer )
(583 Points)
Replied 22 March 2024
| Originally posted by : RAJA P M | ||
|
Originally posted by : My Videos Originally posted by : My Videos Originally posted by : RAJA P M Is that clothe means uniform...??? No. for casual use. Response awaited from Raja PM Sir. What are the values of the clothes/perfume/others...??? Is that given as gift or any others...??? |
|
Dear Raja PM Sir,
Value of clothes are 3K and it's given as gift to our employee.
My Videos
(Accounts Officer )
(583 Points)
Replied 22 March 2024
| Originally posted by : RAJA P M | ||
|
Originally posted by : My Videos Originally posted by : My Videos Originally posted by : RAJA P M Is that clothe means uniform...??? No. for casual use. Response awaited from Raja PM Sir. What are the values of the clothes/perfume/others...??? Is that given as gift or any others...??? |
|
Dear Raja PM Sir,
Value of clothes are 3K and it's given as gift to our employee.
My Videos
(Accounts Officer )
(583 Points)
Replied 22 March 2024
| Originally posted by : Yasaswi Gomes new | ||
|
Under Section 192, TDS is deducted at the time of actual payment of salary and not during the accrual of salary. It means tax will be deducted when your employer pays salary whether in advance or on time or in arrears (late payment). | |
Dear Yassawi Gomes,
Thanks for your reply.
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