Save Rs 588 on a 2-Year Ad-Free CAclubindia Pro Membership. Subscribe Now!

Exemption in respect of Food coupons

Save Share

This query is : Resolved

Hemal Dilipkumar Jani (Querist)
Follow

02 September 2008 Pls guide me to understand the tax implication in respect of the Food coupons (SOdexho) given by Company to employees as a part of CTC.
1. R they exempt from tax while calculating TDS from Salary of employees. If yes, to what extent. Pls provide ref. section or rule.

2. R they exempt from FBT for employers ?
As per my knowledge food coupons are exempt from tax to the tune of Rs 15600/- (50Rs.*26 working days* 12 Months).

Pls guide.

Thanks
Hemal jani
9979861262

CMA Jitendra Singh

CMA Jitendra Singh (Expert)
Follow

06 September 2008 Sodex HO is good option for company as there is no limit of expenses under FBT for meal vouchers.

But from Employee point of view,Hemal your point is right and meal vouchers provided above Rs.15600 in a year will be perquisite in hand of employee and TDS will be made as per section 192

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now