Hello Everyone,
How can we compute income tax for an employee who is employed in both parent and subsidiary company. Kindly guide. How the leaves and attendance can be managed for him.
Regards,
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Hi Sreeja,
Is there a contract or appointment letter issued to the employee from both parent and subsidiary company?
If the dual employment is agreed in writing, the remuneration arrangement, leave, attendance, etc. will be governed by the employment contract/appointment letter. Accordingly, the tax computation and deductions will apply.
If the employment is signed under any one of these companies, then that company is accountable for the remuneration, tax computation, and deductions as applicable; so is the case with the leave and attendance as well. In this case, the subsidiary or the parent company that is utilizing the employee will have its internal arrangement with the signed company with regard to the remuneration adjustments.
Regards,
Bhuvana Anand
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