Computation of Recognised Provident Fund

Direct Taxation

While the computation of Salary for the purpose of Provident Fund why Commission and Entertainment allowances are Nill?

Udaya Kumar

CMA Inter

★ 920

07-Mar-23 12:53

526

Answers (3)

For the purpose of PF - Salary = Basic + DA(if part of salary for retirement benefits) + Commission if given as a fixed percentage of turnover.

Shiva Teja

Faculty

07-Mar-23 13:54

Shiva Teja Faculty

For the purpose of PF - Salary = Basic + DA(if part of salary for retirement benefits) + Commission if given as a fixed percentage of turnover.

But the commission is Nill in the above case sir

Thread Starter

Udaya Kumar

CMA Inter

★ 920

07-Mar-23 15:18

Thread Starter

Udaya Kumar

But the commission is Nill in the above case sir

It’s right since it is fixed commission. What is included is only “Commission given as fixed percentage of turnover”

Shiva Teja

Faculty

07-Mar-23 15:19