FBT

Others 1616 views 15 replies

Whether expenses done by school for annual day function will come under Entertainment Expenses and liable to FBT?

Replies (15)

In what category is the school assessed -Whether it claims exemption u/s 12?

 

 

no, it doesn't claim exemption u/s 12.

Yes , FBT will be Applicable u/s 115WB Sub section 2L

Yes, The scholl will be liable to pay FBT on entertainment expenses.

yes the school will be liable to pay FBT.

No, I dont think annual function expenses by any school is an entertainment expenses. Anuual function in a school is not meant for entertainemnt of school children or parents. Its a part of school studies and activities.

No, I dont think annual function expenses by any school is an entertainment expenses. Anuual function in a school is not meant for entertainemnt of school children or parents. Its a part of school studies and activities.

No, I dont think annual function expenses by any school is an entertainment expenses. Anuual function in a school is not meant for entertainemnt of school children or parents. Its a part of school studies and activities.

Originally posted by :deepak K Gujrati
" No, I dont think annual function expenses by any school is an entertainment expenses. Anuual function in a school is not meant for entertainemnt of school children or parents. Its a part of school studies and activities. "


 

Yes. These expenses will attract FBT. Though the annual function isa part of curriculum it is not mandatory for school to conduct the same.

 

 

refer to tushar yerawar and deepak k gujrati

Yes, entertainment expenses would be liablre to FBT even if it is a part of the curriculum or not. As, FBT has deemeing provisions for entertainment expenses, and thus actual purpose is irrelevant. Therefore it is deemed that 20% of the total entertainment expenditure is liable for FBT.

Yes it will be liable to FBT, under Employees Welfare @ 20%,

Thanks

 

whether free samples are exmpted from FBT?

Yes FBT will be aplicable on 20% of expenses


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