FBT on conveyance..??

This query is : Resolved

chandan (Querist)
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20 December 2007 When an employee is on travel the expenses incurred during travel as conveyance ,

would such conveyance be liable for FBT under Travel at 5% or under conveyance at 20%

CA. Vineet Grover

CA. Vineet Grover (Expert)
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20 December 2007 Hi Chandan,

The same shall be considered under Tour & Travel u/s 115WB(2)(Q) and the value of fringe benefit shall be subject 5% of the expenses.

Rgds/
Vineet

chandan

chandan (Querist)
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28 December 2007 take this eg-

an employee on travel incurs the follow exp

travel fare - 2000
telephone - 2000
boardin & lodgin - 2000
conveyance - 2000
meetin exp - 2000

now the company takes all the expense to the respective accounts except conveyance which is taken to travel a/c n FBT @5% instead of 20%..

i personally feel tats wrong.
wats ur view..??

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