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employee plus consultants

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dinesh bhandary

Manager- Finance & corporate a

42 Points Posted on 26 September 2007

dear sir,

my querey is can one person take salary and professional charges from same company.

it is breaking total salary package in to salary and professionl charges.

for salary tax rate is 30 % and for professional charges tds is 10 %.

and he can get dedcution for his expesnes for professional charges.

so that , he can bring down his tax liablity.

with regards

dinesh

Replies (6)

Kiran Atluri

Manager - Taxation

25 Points Posted on 26 September 2007

uplode FBT in my folder, kindly download

Prakash Popat

2371 Points Posted on 26 September 2007

yes he can plan like that.

CMA Gul S

Program Manager

10026 Points Posted on 26 September 2007

Hello, I do not think that is allowed for the same entity

Guest

Posted on 27 September 2007

Hello Mr Prakash Popat, Can you explain ? how can a person will get both the salary and Prof Fee at a time from one organisation ? If so , how we will issue Form 16 without considering his consultancy income as other income. Thanks N regards Mohan

Anand Mishra

ARTICLES

31 Points Posted on 12 January 2013

Nikhil Kaushik

Fellow CA

70840 Points Posted on 12 January 2013

Dinesh it is very much doable. You shall require both Form 16 and Form 16A to be issued.

Further, the employer, on account of information available to him in regards to the additonal income being earned by the employee, shall have to ensure that appropriate taxes are deducted against the total taxable income of the employee.