Tax audit report

888 views 1 replies

Hi friends,

I have a query and would require a clarification on Clause 16(a) i.e. Any sum paid to an employee as commission for services rendered, where such sums was otherwise payable to him as profit's or dividend.

I have come across a payment made by a private company to it's director in accordance with the provisions of Section 198 read with section 300 of the companies Act, 1956 i.e. 1% of the net profits of the company.

My question is whether this payment made by the company to it's director would attract the provisions of Section 36(1)(ii) of the Income Tax Act, 1961 and thereby require adequate disclosure under Clause 16(a) ?

Regards

Hrishikesh D Khatri

 

 

Replies (1)

As per my knowledge Yes

OM SAI SRI SAI JAI JAI SAI

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
ARTICLESHIP 08 June 2026
Internal & Taxation Article

O P Bagla & Co LLP

New Delhi

CA Inter

View Details
Company
10 June 2026
Senior Account Executive

JDS Advisory LLP

Ahmedabad

CA Inter

View Details
Company
01 June 2026
Audit, Taxation & Compliance Executive

R P S K & Associates

Nashik

CA Inter

View Details
Company
24 June 2026
Chartered Accountant

CA Darshita Shah & Co

Nadiad

CA

View Details
Company
12 June 2026
Accounts & Taxation Executive

Winshine Financial Services

Mumbai

CA Inter

View Details
Company
ARTICLESHIP 20 June 2026
Articleship

RB KESHRI & CO

Mumbai

B.Com

View Details
Company
25 June 2026
AUDIT MANAGER

JDAS & ASSOCIATES

New Delhi

CA

View Details
Company
ARTICLESHIP 27 June 2026
CA Articled Trainee And Paid Assistant

SKAA & Associates

New Delhi

CA Inter

View Details