Perks or Allowances

Tax queries 552 views 1 replies
Dear All, Any type of payment made through cash voucher monthly as fixed amount to the employees by the company.Please clarify is the fixed amount paid through voucher perks or Allowances?. Nature of fixed payment paid through voucher are as under: Driver Salary Conveyance Reimbursement Petrol Reimbursement Any other type of payment. Plz. urgent reply. Thanks Parmod
Replies (1)

Dear Pramod,

Perquisites are of two types -

1) in Kind

2) in Reimbursements

In both the above cases there is an element of actual expenditure involved...

 

If any payment is made irrespective of actual expenditure then it will qualify as "ALLOWANCE"


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