What is salary paid tax free? How to calculate tax on that?
Sandeep Pandey (CA FINAL) (1306 Points)
21 October 2009What is salary paid tax free? How to calculate tax on that?
praveen
(Chartered Accountant)
(6971 Points)
Replied 21 October 2009
no salary is tax free.
Every income is taxable to salary..
May be the employer pays salary on behalf of the employee.
Such tax paid will not be allowed as deduction in the hands of the employee
PRAVEEN KUMAR
(MBA (Finance) B.Com.(P))
(3443 Points)
Replied 22 October 2009
yes tax paid on behalf of employee is tax free salary...
saranraj
(CA FINAL)
(419 Points)
Replied 24 October 2009
the tax so paid by the employer on behalf of the employee is a perquisite to the latter and to be added to his salary.
CA Sidhi Gaur
(Chartered Accountant)
(247 Points)
Replied 05 November 2009
no salary is tax free..wen ur employer pays tax on ur behalf it is called as tax free but d employee hs to pay tax on such amt also as it is a perquisite for him.
CAclubindia
