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Deputation allowance and tax

(Querist) 17 May 2016 This query is : Resolved 
Can we treat project travels of more than 21 days as deputations and pay flat deputation allowance without needing bills. We do not want to treat any expense reimbursements as Taxable.
Can we maintain a bank account of nature “current account” for every employee, in addition to “Salary Account” and do all expense settlements through “current account” and treat expense settlements as reimbursement of expenses and hence treat it as “non taxable”.
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Adv. Yogen Kakade (Expert) 20 May 2016
Consult your tax consultant.
Reetu Dwivedi (Querist) 21 May 2016
Thank you for your response.

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