Employer pays salary to employee wife account
This query is : Resolved
20 June 2024
An employee joined an organization with a package of Rs. 40 Lakhs. The employee asked the employer to issue one offer letter for Rs. 20 Lakhs in their name and another offer letter for Rs. 20 Lakhs in their spouse's name. The employer agreed and provided the offer letters accordingly. Is this legally allowed? It seems like they are trying to evade taxes.
Please share your views in detail along with sections. and whether it is legally allowed.
WHAT IS THE IMPACT ON EMPLOYER ? TO SUPPORT THIS TYPE OF ACTIVITY ? HOW TO REPORT THIS TYPE OF ACTIVITY TO IT Department
Please share your views in detail along with sections. and whether it is legally allowed.
WHAT IS THE IMPACT ON EMPLOYER ? TO SUPPORT THIS TYPE OF ACTIVITY ? HOW TO REPORT THIS TYPE OF ACTIVITY TO IT Department
20 June 2024
It's legally not allowed.
Yes, they are evading taxes.
As per Section 271(C) of the Income Tax Act of 1961, in case of hiding or understating your income, the penalty can be anywhere between 100% to 300% of the amount of tax that was due but not paid.
Yes, they are evading taxes.
As per Section 271(C) of the Income Tax Act of 1961, in case of hiding or understating your income, the penalty can be anywhere between 100% to 300% of the amount of tax that was due but not paid.
Message likes :
1 times
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- ITR 2 Short Term gain & Long term gain
- Reporting Income under Section 44ADA
- Off Market debit and credit transaction
- Itr 1 processing
- Showing Gift from relative in ITR for this year
- INCOME TAX ON REDEVELOPEMENT OF FLAT
- ITR returnFY25-26
- ITR selection for salaries and capital gain less than L
- Short Term Capital gain on shares bought and sold after 2018 onwards
- Form 10E u/s 89(1). Need clarification because experts opinions differ !!!!
- Article ship defecit
- Bank Accounts in Balance Sheet for ITR 3
- Opting out" of regime provided under subsection (1A) of Section 115BAC but Form 10IEA is not filed.
- Difference in tax comparison report
- Gst invoice numbering and delivery challan numbering
- Sales amount in Gstr1
- E Commerce GSTR1 & 3B how to file
- GST Cancellation without jurisdiction
- Legal Opinion on Registrar's Refusal to Investigate a Society for Non-Renewal and Non-Compliance
- GST Refund_RFD-01
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
