fbt on staff welfare

is there fbt on rainy shoe provided to peon?

Replies (7)

I dont thing so

yes, it will be under staff welfare expenses.

It is covered under FBT

Any expenditure incurred for meeting the employer's statutory obligations under the Employment standing Orders Act, 1948 fall within the scope of the exclusion in the Explanation to Clause E of Sub-section 2 of Section 115WB.

F. No. 142/21/2005-TPL CIRCULAR NO. 8 /2005 

Qn.  "Whether FBT is payable on expenditure incurred on providing safety shoes or uniforms or equipments to the employees or for the purposes of reimbursement of washing charges?

Ans. "Any expenditure incurred for meeting the employer’s statutory obligations under the Employment Standing Orders Act, 1948, fall within the scope of the exclusion in the Explanation to clause (E) of sub-section (2) of section 115WB. Therefore, expenditure incurred on providing safety shoes or uniform or equipment to the employees or incurred for the purposes of reimbursement of washing charges, is exempt from FBT to the extent such expenditure is incurred to meet such statutory obligation."

ONE THING IS TO NOTED HERE THAT IT IS FOR "SAFETY SHOE" & NOT RAINY SHOES..

It should be Staff Welfare ... so under FBT

Ritesh is correct.

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