vinayak c. chavan (CPT passed) (1011 Points)
20 December 2012I am an employee of private limited co. In salary from company I am receiving i) Basic salary ii) Diwali bonus (once in a year) iii) Conveyance allowance iv) Commission on sales (as variable pay). My company is deducting some expenses from my salary i.e i) Mobile charges ii) profession tax. For Tax computation how should I arrive at net salary i.e. what should be added/deducted?
Nilesh Koparde
(Hardwork is a key of Success...)
(678 Points)
Replied 20 December 2012
Basic Salary + Allowances {Exempt u/s 10 (14) & 10 (13A)} + Bonus {Limit} = Gross Salary - pt = Net Salary
satish kumar voleti
(A.C.A., (ICWAI))
(1686 Points)
Replied 20 December 2012
Nilesh Koparde
(Hardwork is a key of Success...)
(678 Points)
Replied 20 December 2012
Please note that - Expenses in income from salary should be ignore (only for ur case)
manoj
(student)
(5205 Points)
Replied 20 December 2012
(1) The following income shall be chargeable to income-tax under the head "Salaries" :
(a) any salary due from an employer or a former employer to an assessee in the previous year, whether paid or not;
(b) any salary paid or allowed to him in the previous year by or on behalf of an employer or a former employer though not due or before it became due to him.
(c) any arrears of salary paid or allowed to him in the previous year by or on behalf of an employer or a former employer, if not charged to income-tax for any earlier previous year.
Any salary, bonus, commission or remuneration, by whatever name called, due to, or received by, a partner of a firm from the firm shall not be regarded as "Salary".
Deepak
(to be a chartered accountant)
(141 Points)
Replied 20 December 2012
CAclubindia
