WebSARS defines a fringe benefit in the seventh schedule as having four elements i.e. 1. Theres an employment relationship. 2. The benefit accrues to the employee as a result of this relationship. 3. The benefit is a reward for services rendered. 4. The benefit is taxed. WebThe table below provides further information on the same. Description. Cubic Capacity within 1.6 litre. Cubic Capacity exceeding 1.6 litre. Expenses reimbursed by the employer. Rs.1,800 + Rs.900 (if a driver is provided by the employer) Rs.2,400 + Rs.900 (if the driver is provided by the employer) Expenses directly met by the employee.
Employees - Benefits allowable
WebFeb 1, 2024 · Perquisites are extra benefits that employees receive on top of their pay. Depending on their nature, certain perks or perquisites may or may not be taxable. The term fringe benefits or perks refers to a variety of benefits that are provided in addition to a person’s pay. To promote accountability and transparency, these components are taxed ... WebNov 24, 2003 · Taxable income is the amount of income used to calculate how much tax an individual or a company owes to the government in a given tax year . It is generally … multithreading c++ interview questions
Valuation of perquisite for Motor Car and Taxability
WebJan 4, 2024 · Free food and non-alcoholic beverages provided by the employer during working hours at the office or business premises or with non-transferable paid vouchers … WebInterest from a superannuation fund is tax free. On retirement, 1/3 of the commuted fund is fully exempt from tax and the remaining amount if transferred to an annuity is tax-free and if the amount is withdrawn, it is taxable in the hands of the employee. Employer’s contribution of up to Rs 1.5 lakh in respect of an employee is exempt. WebThere are two types of taxability of perquisites: Tax on perquisites – Perquisites added to the Head of Salaries while filing Income tax return are taxed by the government u/s 17 (2) of the Income Tax Act. Tax-free perquisites – Some types of perquisites are tax-free in the hands of the employee. For effective tax planning and reduction of ... multithreading definition