Expenses Reimbursement is taxable or Not?

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Anil Chavan (Querist)

13 March 2008 Hi Sir / Madam

As per my CTC I am getting reimbursement against phone bill , news paper bill from my co. But my question is as per IT it is treated as salary or it is only expenses reimburesement on which co is paying FBT? Means it is taxable or not.

Regards
Anil

CA Praveen Chopra

CA Praveen Chopra (Expert)

13 March 2008 Whether company reimburse it to you, it is absolutely expense of the company in the nature of staff welfare which is subject to FBT on the part of the company.

Chintan Gajjar

Chintan Gajjar (Expert)

13 March 2008 Mr. praveen Chopra is absolutely correct.

Anil Chavan

Anil Chavan (Querist)

13 March 2008 But My question is that the amount which I am getting by reimbursement is taxable in my hands or not?

alok

alok (Expert)

13 March 2008 Mr. praveen is correct. n this is not taxable in ur hands.

Anil Chavan

Anil Chavan (Querist)

13 March 2008 Thanks for your reply

Anil Chavan

Anil Chavan (Querist)

13 March 2008 But somebody told me that the amount of reimbursement will be taxable in my hands. & even co. have to pay FBT on it.& he also told me that from year 2006-07 the amount of reimbursement is taxable in the hands of employee also.
Is it possible that we have to pay a tax twice on same expenses?