Per-Day Allowance during employee stay abroad: Non-Taxable

Advertisement CIT Vs Information Architects (Bombay High Court) The amounts paid by the assessee to its employees towards overseas maintenance allowance. These amounts were paid towards expenses at the rate of IEP 50 per day per employee. Held that these amounts constitute only reimbursement for the expenses incurred by the employees at a particular amount per day and would not form part of the salary in the hands of the recipients. Hence the question of applying sub-clause (iii) of clause (a) of section 40 would not arise.  FULL TEXT OF THE HIGH COURT ORDER /JUDGEMENT These appeals by th...