Is late payment of PF disallowed?

In order to ensure timely deposit of employees’ contribution to the welfare funds of the employees by the employers, it is provided that the late deposit of employees’ contribution by the employer shall never be allowed as a deduction to the employer.

Is employer contribution disallowed?

The employer has to disallow the expenditure on account of employees’ contribution to respective funds if they are not deposited within the due dates.

How is family planning expenses for employees treated for tax?

Expenses incurred by a company for purpose of promoting family planning among employees is allowed as a deduction in the following manner: 1/5th of the amount which is of capital nature is allowed in the year of deduction and the remaining over the succeeding 4 years.

What is admissible deductions?

A deduction is also allowed under section 16(ii) in respect of any allowance in the nature of an entertainment allowance specifically granted by an employer to the assessee, who is in receipt of a salary from the Government, a sum equal to one-fifth of his salary(exclusive of any allowance, benefit or other perquisite) …

What is section 37 of Income Tax Act?

Section 37(1) says that any expenditure (not being expenditure of the nature described in sections 30 to 36 and not being in the nature of capital expenditure or personal expenses of the assessee), laid out or expended wholly and exclusively for the purposes of the business or profession shall be allowed in computing …

What is EPF disallowed?

The Income Tax Appellate Tribunal (ITAT), Agra Bench ruled that the disallowance can not be made on the Late deposit of Employees’ State Insurance (ESI) and Employees’ Provident Fund (EPF) if deposited before the due date of filing Income Tax Return (ITR). 254295 and having a tax impact of Rs.

Can I stop my PF deduction?

If an employee wants to opt out of PF, he can fill out Form 11 at the time of joining his first job. He will also have to present a letter addressing the employer stating that he wishes to opt out of the Provident Fund Scheme.

Why employer contribution is less in PF?

The money contributed by an employer goes towards different schemes. Of the basic salary, about 3.67% goes towards EPF or for investments, and 8.33% goes towards Employee Pension Scheme (EPS). If your basic salary is ₹30,000, the employer’s contribution for EPS will be ₹1,250 a month.

Is chargeable U S 45?

Section 45 of Income Tax Act, 1961 provides that any profits or gains arising from the transfer of a capital asset effected in the previous year will be chargeable to income-tax under the head ‘Capital Gains’. Such capital gains will be deemed to be the income of the previous year in which the transfer took place.

What are examples of deductions?

Here are some tax deductions that you shouldn’t overlook.

  • Sales taxes. You have the option of deducting sales taxes or state income taxes off your federal income tax.
  • Health insurance premiums.
  • Tax savings for teacher.
  • Charitable gifts.
  • Paying the babysitter.
  • Lifetime learning.
  • Unusual business expenses.
  • Looking for work.

What are the inadmissible expenses?

1. LIST OF DISALLOWED EXPENSES / INADMISSIBLE EXPENSES (to be added back to NP)

  • Household exp.
  • Rent of residential Building.
  • Repair of Residential Building.
  • Insurance of Residential Building.
  • Electricity of Residential Building.
  • Depreciation of personal Car.
  • Expenses of personal car.
  • Medical exp.

What are the conditions under section 37?

Is there disallowance under Section 36 of the Act?

Over the period of time, there has been number of development in respect of disallowance under section 36 of the act and hence there is necessity to be updated with the changes. In this respect, given below the recent case laws judgments which enable yourself with better understanding of section 36 disallowance. Summary of case laws.

Are there any tax deductions under Section 36?

Under section 36 of the Income tax act, 1961 there are number of deductions available along with their conditions. Below we are discussing the summary of the few latest case laws in respect of section 36 which will make us understand the deductions in a better way. The deductions which are covered below are given below.

When to not deduct ESIC contribution under 36 ( 1 ) ( VA )?

Considering section 36 (1) (va) of the Income Tax Act, assessee shall not be entitled to deduction of such amount in computing the income referred to in section 28 if such sum is not credited by the assessee to the employees’ account in the relevant fund or funds on or before the due date as per explanation to section 36 (1) (va) of the Act –

Are there any deductions allowed under Section 36 ( 1 ) ( VA )?

In the light of the provisions of section 36 (1) (va) and section 43B, let us analyze the allowability or otherwise of the above liabilities: Section 36 (1) The deductions provided for in the following clauses shall be allowed in respect of the matters dealt with therein, in computing the income referred to in section 28