Esic on salary
This query is : Resolved
15 April 2013
Whether Contribution to ESIC by Employee is eligible for deduction from salary while calculating tax?
16 April 2013
Section 16 deals with deduction from Salaries. the following deductions are allowable
a) entertainment allowance granted to govt employee upto 1/5th of basic or rs. 5000/- whichever is less
b) Profession tax being a tax on employment.
ESIC is not covered under either of these heads and hence it will not be allowed as a deduction from salary
a) entertainment allowance granted to govt employee upto 1/5th of basic or rs. 5000/- whichever is less
b) Profession tax being a tax on employment.
ESIC is not covered under either of these heads and hence it will not be allowed as a deduction from salary
16 April 2013
Then While calculating TDS we do not consider it for calculation Purpose?
31 May 2013
The provisions does not include this ESIC but it can be claimed u/s 80 by adding it with LIC as it is based on insurance
The provisons u/s 16 as on to day stands as under;
Deductions from salaries.
9416. The income chargeable under the head "Salaries" shall be computed after making the following deductions, namely :—
(i) 95[***]
96[(ii) a deduction in respect of any allowance in the nature of an entertainment allowance specifically granted by an employer to the assessee who is in receipt of a salary from the Government, a sum equal to one-fifth of his salary (exclusive of any allowance, benefit or other perquisite) or five thousand rupees, whichever is less;]
97[(iii) a deduction of any sum paid by the assessee on account of a tax on employment within the meaning of clause (2) of article 27698 of the Constitution, leviable by or under any law.]
The provisons u/s 16 as on to day stands as under;
Deductions from salaries.
9416. The income chargeable under the head "Salaries" shall be computed after making the following deductions, namely :—
(i) 95[***]
96[(ii) a deduction in respect of any allowance in the nature of an entertainment allowance specifically granted by an employer to the assessee who is in receipt of a salary from the Government, a sum equal to one-fifth of his salary (exclusive of any allowance, benefit or other perquisite) or five thousand rupees, whichever is less;]
97[(iii) a deduction of any sum paid by the assessee on account of a tax on employment within the meaning of clause (2) of article 27698 of the Constitution, leviable by or under any law.]
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
- CAPITAL GAIN BASE ON NOTIFICATION
- Form 140 tds
- Taxable or Tax exempt
- Demand Outstanding AY 2013-14 TDS Deducted not shown in 26as
- TDS Deducted AY-2013-14 Not Reflected in 26as
- ADVANCE PAYMENT OF ADVOCATE
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
- NRI starting business in India
- GST not cancelled by tenant
- Capital gain on sale and purchase of plot
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- STATUTORY AUDIT OF A SMALL PRIVATE COMPANY INCORPORATED ON 28.03.2025
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
- How to pay remaining amount of TDS after due date?
- Resigning a auditor from the company for misconduct
- RCM @ 5% on Hamali charges, Transport Charges, Unloading charges we take ITC or not
- CALCULATION OF DEFFERED TAX - OP BL IS DTL & CURRET IT DTA
- LLP audit under companies act
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
