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FBT on pooja expenses.

Sadiq Hussain (CA-Final 2nd group cleared Senior Tax Ex) (92 Points)

04 July 2008

Dear friends,

Does daily or weekly or monthly pooja expenses incurred at office other than incurred during

festival celebrations are liable for FBT?

Regards,

Sadiq Hussain

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12 Replies

S.Srinivasaraghavan (Chief Financial Officer and Co) (11318 Points)
Replied 04 July 2008

115WB(2) is so wide to include this kind of expenditure.

Ajay Kumar Sana (CA & CS) (48 Points)
Replied 04 July 2008

Pooja Exps are regular office exps...and no FBT is applicable.

CA. Gurdeep Singh Chawla (C A) (7080 Points)
Replied 04 July 2008

Not liable for FBT

Rohit Agarwal (AGM (Accounts)) (269 Points)
Replied 04 July 2008

no tds is not atrracted towards daily pooja expenses. however, festive celebration like diwali, holi, id, etc. would attract fbt

S.P.Mahanta (Internal Auditor) (647 Points)
Replied 04 July 2008

Daily pooja expenses can be treated as office expenses. However, management contribution for celebration of Durga Pooja/ Diwali/ Id/ etc shall attract FBT since such expenses are for general welfare of the employees.

CA Rajesh S (Chartered Accountant) (1581 Points)
Replied 04 July 2008

FBT provisions talk about only expenses relating to festival celebrations and not daily pooja exps

(Guest)

No pooja expenses r not liable for fbt.

Sadiq Hussain (CA-Final 2nd group cleared Senior Tax Ex) (92 Points)
Replied 04 July 2008

Dear friend,

Section 115WB(2) doesnot talk about pooja expenses.Section being wide we simply cant include expenses under FBT perview.Any how thanks for ur sharing.

Sadiq Hussain (CA-Final 2nd group cleared Senior Tax Ex) (92 Points)
Replied 04 July 2008

Dear friends,

Thanks for your sharing of answers.This being my first question on caclubindia i am very happy for quick replies.

nikhilesh (article) (20 Points)
Replied 04 July 2008

its better to charge whole of pooja exps to fbt rather than only including pooja exps during festivals which is a conservative approach.

though sec115WB only talks about charging fbt on pooja during festivals.

this is because it may also be classified as staff welfare exp

shankar (student) (97 Points)
Replied 11 July 2008

Originally posted by :S.P.Mahanta
"	Daily pooja expenses can be treated as office expenses. However, management contribution for celebration of Durga Pooja/ Diwali/ Id/ etc shall attract FBT since such expenses are for general welfare of the employees.	"

Dear mahata,

Thanks for giving the clarifications.

Shankar.