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IPCC Nov'10 RTP

Dhaval K.Toprani (CA-IPCC Student) (1150 Points)

28 October 2010

Why has overtime allowance not been considered while calculating "salary" for Rent free furnished house in Q.6

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5 Replies

NUKUL GARG (Senior Associate Consultant) (1231 Points)
Replied 28 October 2010

For Rent free furnished house taxable portion of all allowances are taken.

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Dhaval K.Toprani (CA-IPCC Student) (1150 Points)
Replied 28 October 2010

I am aware of it.But the RTP solution doesnt consider the overtime allowance so I guess its a mistake in the solution

Sunshine (Helping All) (10575 Points)
Replied 30 October 2010

i think taxable i.e Rs.5300 HRA is also not considered...must be a mistake..

Dhaval K.Toprani (CA-IPCC Student) (1150 Points)
Replied 30 October 2010

no sneha HRA cannot be included as HRA is given for only two months when the RFA didnt exist...once he got RFA HRA was stopped so only overtime allowance is missing

Sunshine (Helping All) (10575 Points)
Replied 30 October 2010

all taxable allowances are to be included ....HRA(for 2 months only) after exemption u/s 10 (13 A) is taxable...so it will also be taken into consideration...there is some dispute over this perquisite new valuation rules between kolkata and mumbai branches...not sure exactly what the matter is but there is some confusion on part of ICAI here...