My one of the friend visited France during the financial year 2016-17. Company sent him to France & he worked their almost 150 days, Company had paid him all allowance through international debit card. after completion of deputation he came in india and company has been returned indian rupees Rs. 400000 approximately i.e remaining balance of allowance granted after converted in indian rupees. My doubt is 1. Actually he is received letter from france your travelling allownce shown in their & also file will be file in their. 2. Company has been given form 16 without showing Rs. 400000/- which returned to him 3. Company has been shown income under salary which is they paid as per earned in india after deducted tax but they did not show travelling allowance paid
So please clarify is it necessary to shown Rs. 400000/- received in his income tax & where or how it is shown in return. if their (france) filed return why we again show it is.
14 July 2017
1 Query not clear. 2 Travelling allowance is exempted from income tax(it is paid towards the expenses incurred in France) need not be shown in form 16. 3 Travelling allowance is exempted from Income tax. It is not necessary to be shown Rs. 400000/- received in his income tax return.