18 July 2008
Hi, What is the tax treatment in the hand of employee and employer if cause of breach of contact, employee is required to pay some amount to employer.
For example, if employer sends employee on a project and get the bond singed as per which, if employee left the organisation before sepecifed perioed, he/she will be resposible to pay fix amount to employer. In that case what will be the tax treatment of amount paid by emplyee to employer in the hand of employer and employee. Please advice.
CAclubindia
