<h1>CBDT Revises Income Tax Rule 3: New Perquisite Rates for Employer-Provided Housing; Population Thresholds Updated to 2011 Census Data.</h1> The Central Board of Direct Taxes (CBDT) has updated Rule 3 of the Income-tax Rules, 1962, following the Finance Act, 2023, to redefine the calculation of perquisites for rent-free or concessional accommodation provided by employers. The changes use the 2011 census for city and population categorization, increasing the population thresholds to 40 lakh and 15 lakh. The perquisite rates have been reduced from 15%, 10%, and 7.5% to 10%, 7.5%, and 5% of salary, respectively. The rule also considers the tax implications for accommodations occupied by an employee for more than one year.