Concept of PER DIEM

Ankit (C.A.-Student) (680 Points)

09 May 2010  

Hello everyone.

i am a CA student & nowadays busy in audit of Pvt Ltd Co. & i  am very confused with a concept Per Diem

What is Per Diem? (Related with travelling)

How Its entry to be done in books of accounts ?

Its a part of salary or company's expense?

If a person(employee) saves some amount from per diem, he has to give back to company or if he hasn't then will it be treated as part of his salary?

How to audit (approach) these kind of expenses?

-please help me in this matter