How to give salary to employee?

Beneficial for company or for employee ?

Beneficial for comapny

amount which is taxable in the hands of employee will be allowed as expenses to the company. otherwise if it is tax free to the employee, company has to pay the tax

If the employee in metro city

Basic  263600

HRA  131800

Transport allowance 9600

Medical                 15000

 other than metro

Basic 282400

HRA 113000

Transport allowance 9600

Medical                 15000

thnx arpit and purushottam sir

will u plz explain me how it is beneficial for company?

1. Tax libility on employee will be less, employee will be retained in the organisation.

2. Increase or Increment is done on the basic salary so the BASIC is less so employer again will happy.

3. Tax liability is less or no tax ( Due to investemnt made under section 80) TDS work will reduce

Thnx Purushottam Sir