Hi,
Our company provides Sodexo vouchers to the employees. This is not treated as a component of salary, but advance deduction is made from the employee's salary, and the payment is made to Sodexo. Please let me know if this will be exempted from tax or do we need to include this as a component of the salary for availing the tax benefit.
Regards,
Bobby.
From India, Bangalore
Acknowledge(0)
Amend(0)
1Our company provides Sodexo vouchers to the employees. This is not treated as a component of salary, but advance deduction is made from the employee's salary, and the payment is made to Sodexo. Please let me know if this will be exempted from tax or do we need to include this as a component of the salary for availing the tax benefit.
Regards,
Bobby.
From India, Bangalore
Acknowledge(0)Amend(0)
Since you are recovering the entire amount of Sodexo coupons, there will not be any tax liability. Only one point: instead of treating the Salary Advance, you can name it as Food Recovery or Meal Coupon recovery. In other cases, only Rs. 50/- per meal is allowed as non-taxable, and the rest of the amount is treated as taxable.
From India, Mumbai
Acknowledge(0)Amend(0)
From India, Mumbai
Acknowledge(0)Amend(0)
Thank you for the quick reply. I am sorry that I didn't understand that message properly. What difference does it make in renaming it as "Food Recovery" instead of "Meal Coupon Recovery"?
Also, I believe that the maximum limit is 100 per day, right? In fact, the maximum value of the voucher that we provide at our company is Rs. 2200 (Rs. 100 * 22 days). Please correct me if I am wrong.
Regards,
Bobby
From India, Bangalore
Acknowledge(0)Amend(0)
Also, I believe that the maximum limit is 100 per day, right? In fact, the maximum value of the voucher that we provide at our company is Rs. 2200 (Rs. 100 * 22 days). Please correct me if I am wrong.
Regards,
Bobby
From India, Bangalore
Acknowledge(0)Amend(0)
Reason for showing food recovery or meal coupon recovery is that it will be easy to convince the IT officer that you are recovering the amount and hence no perk is chargeable.
As per the notification released on 18/12/2009, meal vouchers are exempted at Rs. 50/- per meal.
From India, Mumbai
Acknowledge(0)Amend(0)
As per the notification released on 18/12/2009, meal vouchers are exempted at Rs. 50/- per meal.
From India, Mumbai
Acknowledge(0)Amend(0)CiteHR is an AI-augmented HR knowledge and collaboration platform, enabling HR professionals to solve real-world challenges, validate decisions, and stay ahead through collective intelligence and machine-enhanced guidance. Join Our Platform.
Sodexho Meal Vouchers .doc
Excel sheet for Tax deduction.xls
Deduction of Tax from Salaries FY 2022-23.pdf