FBT on Training expenses..??

This query is : Resolved

chandan (Querist)
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28 December 2007 Hi,

From the following what are liable to FBT under Training expenses.

1. Fees paid to institutes for Training to employees like Develop ur self confidence.

2. Reimbursement of fees for training to employees for such programs.

3. Expenses on travelling for training purposes

4. Food expenses etc for the training..

5. will the answer change if the training is for selected employees say 3/100.

6. wat other expenses are liable under training exp and wat are not..??

R.V.RAO

R.V.RAO (Expert)
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29 December 2007 UNDER SECTION 115 WB(2)(C),EXPENDITURE ON INHOUSE TRAINING OF EMPLOYEES(EXCLUDING TRAVELLIG,BOARDING AND LODGING EXPENSES)DOES NOT ATTRACT FBT.
SIMILARLY FEES PAID FOR PARTICIPATION BY EMPLOYEES IN ANY CONFERENCE(EXCLUDING TRAVELLING,BOARDING AND LODGING EXPENSES)DO NOT ATTRACT FBT.
(WE CAN SAFELY TAKE FEES FOR PARTICIPATION IN TRAINING ALSO AS EXCLUDED LIKE CONFERENCES PARTICIPATION FEES FROM FBT THOUGH NOT EXPLICTLY MENTIONED)).
NUMBER OF EMPLOYEES WAS NO WHERE STATED
IN THE SECTION OR SUBSECTION AS ANY LIMITATION FACTOR AND HENCE IS NOT AN ISSUE .
AS ALSO FIXED CONFERENCE ALLOWANCE TO EMPLOYEES OR DIRECTORS DOES NOT ATTRACT FBT.
BUT HOLD ON AS ANY EXPENDITURE ON ATTENDING TRAINING PROGRAMMES ORGANISED BY TRADE BODIES ATTRACTS FBT.
SIMILARLY EXP. ON CONFERENCE FOR AGENT,DEALERS/DEV.ADVISORS ATTRACTS FBT.
R.V.RAO