Tax query

There is no specific head for Bonus in the Revised Schedule VI, so you can post the amounts paid to the Employees on Diwali in the General Salaries & Incentives head. Also, any amount paid to the employees for their efforts is taxable.

If this amount is paid as per Bonus act it is acounted as Bonus to Employees if  given based on performance you term the same as performance Bonus or exgratia by whatever name you call all of them are taxable  in the hands of employees