Go AD-Free with CAclubindia Pro and Daily WhatsApp Updates. Subscribe Now!

Asset Damage Recovery By Company Tax Liability

590 views

Save Share

Saket Anand

2 Points Posted on 14 June 2024

If the company deducts recovery amount from the salary. Will employees need to pay tax on the amount or that is adjusted in form 16 by the employer?

Replies (2)

Quick Summary

This discussion clarifies the tax implications when a company deducts the cost of damaged assets from an employee's salary. It addresses whether employees are liable for tax on the deducted amount or if this is handled through adjustments in their Form 16 by the employer. The conversation also touches upon the company's tax liability in such scenarios.