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FBT

Jitender Kumawat (Professional) (42 Points)

07 August 2008

hiiii friends

I have a query regading FBT that is articles includes in defination of servent or not and conveyance to articles paid by principle than FBT will be applicable on it or not.

regards

Jitender Kumawat

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11 Replies

S.Srinivasaraghavan (Chief Financial Officer and Co) (11318 Points)
Replied 07 August 2008

Any conveyance expenditure will suffer FBT

Praveen Maniyar (Professional) (141 Points)
Replied 08 August 2008

Originally posted by :Jitender Kumawat
"	hiiii friends I have a query regading FBT that is articles includes in defination of servent or not and conveyance to articles paid by principle than FBT will be applicable on it or not. regards Jitender Kumawat	"

Conveyance Expense reimbursed to any person whether employee or not is chargeable to FBT.

CA RAMESH KUMAR AHUJA (CA, DISA, LLB) (5452 Points)
Replied 08 August 2008

Yes, FBT is payable on conveyance reimbursement to Articles also.

1 Like

Anuraag Sharma (Sr Executive Finance) (845 Points)
Replied 09 August 2008

Yes FBT is applicable on conveyance exps. on articles too..

1 Like

ANUP KUMAR SANGHAI (CHARTERED ACCOUNTANTS) (29 Points)
Replied 15 August 2008

Articles are trainees/apprentices as per CA Regulations and Conveyance Expenses by whatever nomenclature called will fall under FBT provisions meaning thereby FBt wil be applicable on the same.

1 Like

CA Ankit Pratap Singh (Chartered Accountant) (93 Points)
Replied 15 August 2008

hi, any payment or reimbursement of conveyance exps. to employees will attract FBT

Asvini (ca) (22 Points)
Replied 20 August 2008

Originally posted by :ankit pratap singh
"	hi, any payment or reimbursement of conveyance exps. to employees will attract FBT	"

IT will be subject to FBT. However if the expenses are incurred for commuting between residence to office and back , FBT will not be levied .

For the rest all conveyance expenses , are chargeable @ 20%

bibek (student) (22 Points)
Replied 24 August 2008

Originally posted by :Asvini

FBT is applicable when there is employer and employee relationship exist and employer is paying perquisites and benefits via rembursement or otherwise than only FBT is applicable.

since article clerk is not an employee so any expenses incurred by article is out of scope to FBT.

It can be clearly understood from the intention of respectable Finance Minister speeh on FBT

"
hi, any payment or reimbursement of conveyance exps. to employees will attract FBT
"

Hi
IT will be subject to FBT. However if the expenses are incurred for commuting between residence to office and back , FBT will not be levied .
For the rest all conveyance expenses , are chargeable @ 20%

bhavik mehta (C.A.) (526 Points)
Replied 27 August 2008

Originally posted by :Jitender Kumawat
"	hiiii friends I have a query regading FBT that is articles includes in defination of servent or not and conveyance to articles paid by principle than FBT will be applicable on it or not. regards Jitender Kumawat	"

hi.

In FBT clearly writedown that conveyance ti employees & Articles are not covered under the defination of employees as per in Bonus Act, Labour law.

bhavik mehta (C.A.) (526 Points)
Replied 27 August 2008

hi friends.

I have a Quary that what % is on conyeance to employees ,is there any amendment init.

pls let me know.

Sunali (Learner) (1317 Points)
Replied 29 August 2008

so many respected people above have advised that any reimbursement towards conveyance expenses will attract FBT, but even i think its only if the relation of employer and employee exists.

Please clarify..

1 Like