Remuneration paid to directors by the company exceeding exemption limit without TDS, whether company can claim expenditure..?????
PALLAV DAVE (Practice) (43 Points)
12 March 2011Remuneration paid to directors by the company exceeding exemption limit without TDS, whether company can claim expenditure..?????
Pankaj Arora
(Learner)
(3134 Points)
Replied 12 March 2011
yes its deductible expenses and you have to deduct TDS on it u/s 192 if the remuneration excessding exemption limit....
ashay
(CA Final Student)
(782 Points)
Replied 12 March 2011
company can claim expenditure only if TDS is deducted
Indian
(CA)
(53 Points)
Replied 12 March 2011
Salaries do not come under the purview of Section 40a(ia) of the Income Tax Act. You can claim directors remuneration as an expense even if no TDS is paid on the same. However you would be liable to pay interest and penalty on the same if you are held as an assessee in default.
sukruti
(articled student)
(60 Points)
Replied 14 March 2011
as rightly said by the previous person, salaries do not come under the purview of Section 40a(ia)and hence yes, you can claim it as an expense.
Live class on PF & ESI Enrollment & Returns Filing(with recording)
CAclubindia
