Salaries

TDS 163 views 3 replies

if march 2019 salary is received during april 5 2019, is it taxable during the FY 2018-19?

Replies (3)

As per mercantile accounting standards its salary income accrued. For its tax-ability better to follow form 26AS.

Yes.

As you have performed your duties in March, you are eligible for the salary. As you have “Earned” your salary in March, it is considered as your income of March i.e. FY 2018-19.

Your employer would also consider March’s salary as an expense and as it is not paid, it would be shown as “Salary payable” as a liability on his books of accounts for the year ended March 31, 2019.

Form 16 you would receive from your employer would accordingly report as your income for FY 2018–19. Thanks.

thanks all of you.  The explanation is perfect


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