Dear Sir/Madam,
on reimbursement TDS provisions not applicable
Please clarify whether TDS to be deducted by employer on reimbursement of expenses incurred due to hospitalisation by employee. What is the limit
Dear Sir/Madam,
on reimbursement TDS provisions not applicable
Dear Sir,
Hope you are doing well !!
No, there is no tds liability on reimbursement of expenses If bill is separately raised for reimbursement of expenses.
Please go through the below case law for your reference:
Can you please elaborate your question. Employer deducts TDS considering your entire salary and not on each and every component separately.
It seems to be in the nature of perquisites and hence will be taxable and TDS will be deducible.
If the reimbursement is with regard to some expense which the employer was to incurr on your behalf and it was mentioned in your agreement then no TDS would be deducted on same but if its in form of perquisite then TDS will be deducted.
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Thank you.
Hello,
If this is just in the nature of reimbursement, then TDS is not deductible.
While it is part of the salary as perquisites, then TDS would be deductible on the whole salary including perquisites.
I hope this answer satisfies your requirement.
Regards,
CA Hunny Badlani
Money received through a claim under a medical policy is only a reimbursement of expenditure already incurred by the policyholder. As this does not amount to profit or income for the insured person, this money is not taxable.I hope this facility is uniformly availabel to all employees and is not a fixed allowance