reimbursement

it will be better to increase to 15000 now. as there is no FBT.

Earlier LImit means:

upto 15000: exempt for employees and employer pays FBT.

above 15000: empoyees pay tax.

so its better to increase to 15000 as no tax liability for anyone...

dear friend

there is no liability in the hands of company as well as employee if the reimbursement exp. does not exceed rs.15000.so you company can increase the amount without any doubt.

Thank u....

So, if the company reimburses Rs.12000 for an employee & Rs.10,000 for another, What will be the treatment of such expenses in the company's books? I mean what entry will be passed..

Kindly response