Hi,
If company is giving noticepay to employee it is taxable. What if company is recovering noticepay from an employee? if it is to be deducted from Gross total income, then how can it be showed in form16.
Thanks
Nishanth
From China
If company is giving noticepay to employee it is taxable. What if company is recovering noticepay from an employee? if it is to be deducted from Gross total income, then how can it be showed in form16.
Thanks
Nishanth
From China
Dear friends,
Notice period is taxable as its just like the normal salarywhich you earn month after month and as such you tend to pay taxes, as such its the same here also.
IF we dont pay taxes how can the govt function, so its very important that at any give time any body who leaves the org by giving notice period its complusory to pay taxes
Regards
From India, Bangalore
Notice period is taxable as its just like the normal salarywhich you earn month after month and as such you tend to pay taxes, as such its the same here also.
IF we dont pay taxes how can the govt function, so its very important that at any give time any body who leaves the org by giving notice period its complusory to pay taxes
Regards
From India, Bangalore
Hi,
You didn't get my query fully. I wanted to know what if company takes money from employee as noticepay recovery. will the employee get benefit out of it and if that is the case how can you show it in form16.
Nishanth
From China
You didn't get my query fully. I wanted to know what if company takes money from employee as noticepay recovery. will the employee get benefit out of it and if that is the case how can you show it in form16.
Nishanth
From China
Notice pay amount if paid by the employer is always taxable in the hands of the employee, since it is employees obligantion.
Similarly, there is no tax on the notice pay recovery. The notice pay recovery amount has to be reduced from the taxable income of the employee at the time of the tax computation.
Regds,
Sushil
Similarly, there is no tax on the notice pay recovery. The notice pay recovery amount has to be reduced from the taxable income of the employee at the time of the tax computation.
Regds,
Sushil
Dear Nishant, I fully agree with Sushil.His is the correct interpretation. You can go ahead with it without any doubt. KKT
From India, Delhi
13From India, Delhi
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