Taxable or not?

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A person is working with a small firm, He wants to bifurcate his salary like............. HRA would be 40 to 60% of basic.
Basic
HRA (40% of basic)
TA
Other Allowance
Mobile Reimbursement / Month
Gross Per Month = Sum of all the above.
Gross Per Annum= 12*Gross/Month
PF Contribution= 12% of Basic/Annum
ESI Contribution = 4.75% of Gross/Annum
Medical = The mediclaim facility provided to an employee who are not covered under ESI as the maximum ceiling for ESI is 10000/Month.
LTA = 10% of Basic EX-Gratia/Bonus = A fixed amount as Bonus

Annual Fixed Gross Cost= Gross/Annum+ Ex-gratia

Which head is taxable & which is not pl suggest me.

Replies (4)
Following are not taxable subject to providing the supporting documents wherever required: HRA - Rent Receipt LTA- two times in a block of 4 years on submission of travelling bills fulfilling the rules laid down in the provision. Current block is (2006-2009). PF contribution @ 12% of basic salary is paid out from your taxable salary and hence can be claimed as deduction ESI/Mediclaim is paid by Employer directly and hence it is not liable to tax in the hands of Employer. Rest everything is taxable. Regards, Mutyam
Hi, Happy New Year. 1) Basic Salary is taxable under the head salary 2) HRA will be taxable on the basis of least of the following a) If he is staying in Metro city 50% of salary otherwise 40%. Salary include, Basic+DA+Fixed % of commission on fixed turnover. b) Rent received for the period for which he occupied property. c) 10% above the basic salary Least of the above is exempt, rest if any he is received is taxable part of HRA. 3) TA is exempt from tax @ Rs. 800/- per month. 4) Other allowance will taxable as salary. 5) Mobile reimbursement per moth is fully taxable in the hand of employee. 6) PF contribution up to 12% is exempt during the year. If it is recognized PF. 7) ESIC contributed by employee is 1.75% of salary contributed by employer is 4.75% in excess of it will taxable as salary. 8) If any employee getting as reimbursement of medical bill or paid by employer as facility up to 15000/- is exempt. So Rs. 10000/- will not be taxable as salary. 9) He can avail LTA TWO times in block of FOUR calender year. Aactual fair for him and dependent. 10) Bonus is taxable as salary @ 8.33% per month or one month of salary.
Hi, Happy New Year.
1) Basic Salary is taxable under the head salary
2) HRA will be taxable on the basis of least of the following
a) If he is staying in Metro city 50% of salary otherwise 40%. Salary include, Basic+DA+Fixed % of commission on fixed turnover.
b) Rent received for the period for which he occupied property.
c) 10% above the basic salary
Least of the above is exempt, rest if any he is received is taxable part of HRA.
3) TA is exempt from tax @ Rs. 800/- per month.
4) Other allowance will taxable as salary.
5) Mobile reimbursement per moth is fully taxable in the hand of employee.
6) PF contribution up to 12% is exempt during the year. If it is recognized PF.
7) ESIC contributed by employee is 1.75% of salary contributed by employer is 4.75% in excess of it will taxable as salary.
8) If any employee getting as reimbursement of medical bill or paid by employer as facility up to 15000/- annually is exempt. So Rs. 10000/- will not be taxable as salary rest of Rs.1,10,000/-.
9) He can avail LTA TWO times in block of FOUR calender year. Aactual fair for him and dependent.
10) Bonus is taxable as salary @ 8.33% per month or one month of salary.

How to treat salary received from esi during sickness leave. My esi contribution goes out of my salary, and I had applied 3 months leave due to fracture surgery. And I received payments from my esi company during my recovery holidays. Please tell me should it be treated as salary or its not treated as income.

Thanks.

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