Course Content
I. Remuneration Planning & Tax Optimization:
- Remuneration planning under different situations, including scenarios impacted by Budget 25-26 announcements.
- Remuneration planning to minimize employees’ tax liability, incorporating new tax slabs and deductions introduced in the budget.
- Restructuring of present remuneration plans considering current and future tax liabilities in light of the latest budget revisions.
- Analyzing the impact of Budget 25-26 on various salary components and their tax implications.
II. Perquisites & Tax Implications:
- Tax on different perquisites (rent-free/concessional accommodation, car, driver, education, domestic servant, interest-free/concessional loan, sweat equity shares, touring/traveling facility, gift, club facility, credit car facility, meal vouchers, refreshments, use/transfer of movable assets, medical facility, leave travel concession). Updated perquisite valuation rules as per Budget 25-26.
- Tax-free privileges and how to maximize their utilization.
- Tax planning devices: legally converting taxable perquisites into tax-free or concessional rate perquisites, considering the latest budget regulations.
- Documentation is required for perquisites when calculating TDS.
III. TDS & Retirement Benefits:
- TDS on Salary under Section 192, including updates related to Budget 25-26.
- Obligation and estimation of employees’ salary under Section 192.
- TDS and taxation of retirement benefits (gratuity, leave encashment, provident fund, pension, and voluntary retirement), incorporating any changes introduced in the budget.
- Preparation of Form No. 16 in various situations (employee joining/leaving during the financial year, details of other incomes/losses, tax deducted by others). Updated Form 16 requirements, if any, as per the budget.
- Documents related to deductions and other income for proper TDS computation.
IV. Tax Regimes & Incentives:
- Guiding employees in selecting between the current and new Tax Regime, with a comparative analysis based on Budget 25-26 changes.
- Tax incentives: Available and unavailable incentives, including any modifications or new incentives introduced in the budget.
- Specific discussion on any new tax benefits or changes to existing benefits announced in Budget 25-26 impacting salary structures.
V. Cost to Company (CTC) & Salary Structure Design:
- Designing competitive salary structures that are tax-efficient and aligned with the company’s compensation philosophy.
- Cost to Company (CTC) breakdown and its components.
- Balancing take-home pay with compliance and long-term benefits (PF, Gratuity), considering the impact of the latest budget.
VI. Budget 25-26 Impact Deep Dive:
- Dedicated session summarizing and analyzing the critical aspects of Budget 25-26 relevant to salary structuring, tax planning, and employee compensation.
- Discussion of specific budget proposals impacting perquisites, deductions, exemptions, and tax slabs.