TaxTMI Login
Just a moment...
Press 'Enter' to add multiple search terms. Rules for Better Search
of 
of 
No Folders have been created
Are you sure you want to delete "My most important" ?
NOTE:
of of 
All Circulars
of of All Circulars
Note
Bookmark
Share
Don't have an account? Register Here
of <h1>New Tax Guidelines on Employer-Provided Benefits: Deductions Limited to One-Fifth of Employee Salary per Sections 40(c)(iii) & 40(a)(v.</h1> The circular addresses the tax treatment of benefits, amenities, or perquisites provided by employers to employees. Under sections 40(c)(iii) and 40(a)(v), such expenditures are deductible only up to one-fifth of the employee's salary. The definition of 'salary' excludes allowances and perquisites but includes dearness allowance if specified in employment terms. Benefits like medical reimbursements, utilities, and domestic services are considered perquisites. Bonuses are treated as salary if contractually obligated, otherwise as perquisites. Commission is treated as salary if part of remuneration, otherwise as a benefit. Previous circulars inconsistent with these guidelines are withdrawn.
TaxTMI 
TaxTMI 
