https://www.taxtmi.com/caselaws?id=11049 The challenge to the constitutional validity of the amendment to rule 3 of the Income-tax Rules, 1962 was dismissed by the Supreme Court. The classification of salaried employees under the amended rule was upheld as valid, with public sector employees not considered a separate class. The Court found the valuation method for perquisites to be reasonable and not arbitrary, aiming for uniformity and avoiding litigation. The fixation of interest rates for computing perquisite value was also deemed non-arbitrary, encouraging alignment with market rates. Previous High Court decisions supporting the rule amendment led to the dismissal of the constitutional challenges. en-us Wed, 30 Apr 2003 00:00:00 +0530 Thu, 30 Jul 2009 10:36:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=11049 The challenge to the constitutional validity of the amendment to rule 3 of the Income-tax Rules, 1962 was dismissed by the Supreme Court. The classification of salaried employees under the amended rule was upheld as valid, with public sector employees not considered a separate class. The Court found the valuation method for perquisites to be reasonable and not arbitrary, aiming for uniformity and avoiding litigation. The fixation of interest rates for computing perquisite value was also deemed non-arbitrary, encouraging alignment with market rates. Previous High Court decisions supporting the rule amendment led to the dismissal of the constitutional challenges. Case-Laws Income Tax Wed, 30 Apr 2003 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=11049