Foreign Citizen Wroking in Indian Comapny as an Employee

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This discussion clarifies the taxability of international travel expenses provided by an Indian employer to a foreign employee working in India. The consensus is that these expenses are considered a taxable perquisite under Section 17(2) of the Income Tax Act, as they are not specifically exempted. The employer's provision of to-fro journey costs is therefore subject to income tax.

komal ameta

komal ameta (Querist)
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12 December 2022 Hello Experts,

A foreign citizen working in India as an employee.

The Indian organization is providing for his to-fro journey (international travel expenses) for his country.

Is it taxable or treated as an allowance?

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)
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12 December 2022 Its taxable...

komal ameta

komal ameta (Querist)
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15 December 2022 Dear Sir,
Would you please give a reference to the applicable section of the Income Tax Act?
It will help me to understand it in a better way.

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)
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15 December 2022 Its a perquisite provided by employer to employee. The same is not exempted u/s. 17(2) of IT act; so it is taxable...

komal ameta

komal ameta (Querist)
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10 January 2023 Thank You Sir, for the confirmation.

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)
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10 January 2023 Most welcome..

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