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Who is a Resident and Ordinarily Resident (ROR)?An individual is treated as Resident and Ordinarily Resident if he satisfies any one of the basic conditions and both the following additional conditions –Basic Conditions:
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What is Provident Fund Scheme and what are its types?Provident Fund Scheme is an employee welfare scheme. According to this a certain amount is deducted from the salary of the employee which is referred to a Employee’s Contribution to PF. In some cases, the employer also contributes as equal amount which is referred as Employer’s Contribution to PF. Both employees’ contribution as well as employer’s contribution is invested. The interest earned on such investment is credited to the PF Account of the employee.Types of Provident Fund: 1. Statutory Provident Fund – maintained by Government organizations, local authorities, universities and educational institutions. 2. Recognized Provident Fund – is the fund to which the provisions of employees Provident Fund and Miscellaneous Provisions Act, 1952 apply. 3. Unrecognized Provident Fund – is not recognized by the income tax authorities. |
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List down the allowances that are fully taxable.
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