Is Bonus Taxable?

Hi
Our company is planning to pay a month's salary for this Diwali instead of some gifts to the employees, but worried on the tax factor. Can somebody suggest on the same?

Hi,
Bonus is very much texable and that to with flat rate of 30% as per Govt of India, tax department.
Punit Sharma
SAP-HR
Malaysia
0060169475281

Yes bonus is taxable but as normal income only. There is no flat rate applicable. Tax rate depends on the employee's taxable income before addition of the bonus amount so it can be 0% to 30% as applicable
Thanks
Nikesh

Hi,
Certainly bonus is taxable income in the hands of employee, However if you pay any gifts up to the worth of INR 5000/- Per annum is exempted to tax.
Thanks
Sunil

gift upto rs. 5000/- is not taxable ,bonus is taxable and gift above five thousand is taxable

Yes,bonus is very much taxable ,otherwise people would
be paying themselves huge bonuses to avoid paying tax.
james

Hello,
The Bonus is taxable, it is part of the salary hence taxable under Salary head. the tax rate depend on your gross annual income.
Thanks-Jagmohan Rawat

Is bonus taxable on what basis tax is applicable? Could anyone explain in detail about this? Whether it will be merged on the annual income or separately tax impact will come?

what is the procedure for leave encasement in private ltd. company.
is it good to take during my resignation or during the job tenure

Hi,
We also got the bonus in the same fashion last year, the tax treatment of the bonus is done by adding it to the annual income of the employee and then the final figure is used to apply the tax. The tax rate is judged on the final figure as per the tax slabs issued by the IT dept.
Hope that explains... :)