My organisation has asked to keep travel tickets as proof of tour visits reasoning fringe benefits tax.isittru
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my organisation recently have made some strictures regarding tour travel proofs wherein they say that field people have to produce travel tickets for claim of the same. reason being that to avoid fringe benefits tax. i just want to know whether organisations have this kind of practice of asking sales people to produce travel tickets for claiming their tour expenses. does the fringe benefit tax come in connection with this. kindly explain the industry practice and also if fringe benefit tax with regard to travel tickets is relevent
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Answer:
I don't know about the industry practice, but in Govt. it is more or less mandatory to either produce your tickets or give the PNR No. etc. For LTC it is must. For honest people, there is no problem. With tickets, it is reimbursement and tax is not attracted. Without tickets, it may be treated as a fringe benefit (some organisations allow Leave Travel entitlement to be encashed and that is taxable). I am talking of India but the rules are more or less same I think.
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