We are paying Daily Allowance to the Sale Executives like Rs. 150.00 per day for which dates he is present and goes on marketing at difference cities through reimbursement on fortnightly basis.
I need the Account head in which this expenditures should be accounted.
Further is it taxable in hand of employee or Company as FBT.
05 May 2009
It is the part of salary. It is exempt in the hands of employees upto the limit they expend it. So employees needs to provide bills to claim the exemption in the salary otherwise fully taxable.
CAclubindia
