https://www.taxtmi.com/caselaws?id=15375 Interest subsidy paid by an employer to a financing agency under a House Building Advance Scheme was treated as a taxable perquisite under the Income-tax Act because it discharged an amount that would otherwise have been payable by the employee. The scheme allowed employees to borrow through outside agencies, while the employer met the difference between the company rate and the higher external borrowing rate. On that basis, the subsidy fell within the statutory concept of perquisite under section 17(2)(iv) and was not exempt merely because the employees did not themselves remit the amount. The challenge to tax deduction therefore failed. en-us Fri, 21 Aug 1998 00:00:00 +0530 Thu, 06 Aug 2009 11:35:56 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=15375 Interest subsidy paid by an employer to a financing agency under a House Building Advance Scheme was treated as a taxable perquisite under the Income-tax Act because it discharged an amount that would otherwise have been payable by the employee. The scheme allowed employees to borrow through outside agencies, while the employer met the difference between the company rate and the higher external borrowing rate. On that basis, the subsidy fell within the statutory concept of perquisite under section 17(2)(iv) and was not exempt merely because the employees did not themselves remit the amount. The challenge to tax deduction therefore failed. Case-Laws Income Tax Fri, 21 Aug 1998 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=15375