Petrol reimbursement
mohit kumar
(Querist) 14 October 2017
This query is : Resolved
Dear Expert,
I am working as a law officer in MNC company. my company give car as reward after complete 5 years as job. also my company provide 150 ltr per month for petrol reimbursement after providing petrol bills. but my company employee given wrong invoices to claim above benefit.
as per my opinion and this is illegal act and penalty in income tax act.
Kindly provide brief details regarding above subject.
regards
Rajendra K Goyal
(Expert) 14 October 2017
Claiming wrong bill is misconduct on the part of employee. Company may initiate disciplinary proceedings against such employees.
If the perquisite value of the reimbursement is shown in the Form 16 and is duly accounted for as per requirement of Income Tax Act, IT provisions are complied.
P. Venu
(Expert) 15 October 2017
Yes, this is a malpractice; but, in may organisations/institutions, this has become and accepted as a practice.
