Taxation - employee shifted to srilanka

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

16 October 2013 Dear Sir,
Thanks for helping me all he time in past today I have a query for which I did not got any answer from books please me on this

One of our employees shifted to our Srilnaka branch in 2012.In this year he retiried from company payroll and now he is working as consultant at Srilanka.

His fee Fixed Rs.10 L per year and he will be in Srilanka for more than 183 days in FY 2013-2014.

I have following queries:-

1. He is not have any account in Srilanka and we are depositing his remuneration in Indian salary account.( In INR)

2. what should be best practice to pay him so our employee also save taxes.

3. There is any FEMA regulation applicable.

4. If we keep him in Companies Pay Roll there is any difference in taxation.

5. Facility provided in Srilanka like CAR, House is taxable in his hand if working as consultant ( if as employee)

6. He need to open a NRI account in India ??

7. We can pay him from Indian Branch ?? or we have to pay from Srilanka Branch?

Regards

@VaibhavJ

@VaibhavJ (Expert)
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17 October 2013 Hi

Pl refer https://www.kpmg.com/IN/en/services/Tax/InternationalTax/IES%20Publications/Taxation%20of%20International%20Executives.pdf

This will help you to understand taxability.

Thanks//VaibhavJ

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