Perquisite on sale of electric car to an employee

[SARAVANAN RENGACHARY]

Hi,

Please let me know what is the rate of depreciation in case of sale of electric car to an employee when the perquisite value is calculated. In case of other motor cars, depreciation is 10%, is it the same for electric car also? Please confirm.

Regards,

Shivashankar

 

[DR.MARIAPPAN GOVINDARAJAN]

Whether you have got clarified in the above said issue? If not please inform.

AI Summary

Perquisite valuation for sale of electric car depends on whether the standard motor car depreciation rate applies. Perquisite valuation on the sale of an electric car to an employee hinges on the applicable depreciation rate used to determine the taxable benefit, and the query asks whether the depreciation rule ordinarily applied to other motor cars also applies to electric cars when computing the perquisite on sale to an employee.