06 October 2016
Our company has a few senior managers whom it has given rent free accommodation. However, in their employment contract nothing is mentioned. Rent agreement of those flats is in name of company and rent is directly paid to owner by company through banking channel.
Company does not include RFA while calculating TDS on salary for those officers. As an internal auditor, I believe the company is in default.
I want to raise this in audit report. Please tell me if I am correct. Also please tell me what are the liabilities which may fall on company.