Tax Planning Considerations in Respect of Salary Income :

The scope for tax planning from the angle of employees is limited. The definition of salary is very wide and includes not only monetary salary but also benefits and perquisites in kind. The only deductions available in respect of salary income are the deduction for entertainment allowance and deduction for professional tax. Therefore, the scope for tax planning in respect of salary income is severely limited.Links are provided below Tax Planning of Salary

• Salary Structure need to be Carefully Determined

• Employees’ welfare schemes under Tax Planning Considerations in Respect of Salary Income

• Insurance policies under Tax Planning Considerations in Respect of Salary Income 

• Dearness allowance, dearness pay under Tax Planning Considerations in Respect of Salary Income 

• Commission under Tax Planning Considerations in Respect of Salary Income 

• Leave travel facility under Tax Planning Considerations in Respect of Salary Income 

• Rent free accommodation / House Rent Allowance (HRA) under Tax Planning Considerations in Respect of Salary Income 

• Medical Allowances under Tax Planning Considerations in Respect of Salary Income 

• Uncommuted /Commuted pension under Tax Planning Considerations in Respect of Salary Income 

• Provident Fund under Tax Planning Considerations in Respect of Salary Income 

• Retirement benefits under Tax Planning Considerations in Respect of Salary Income 

• Pension received by non-residents under Tax Planning Considerations in Respect of Salary Income 

• Accident insurance under Tax Planning Considerations in Respect of Salary Income 

• Exempt perquisites under Tax Planning Considerations in Respect of Salary Income 

• Considerations for salary structuring under Tax Planning Considerations in Respect of Salary Income