https://www.taxtmi.com/caselaws?id=16262 The High Court of Karnataka ruled in favor of the Revenue, holding that the income tax paid by the employer on the employee's salary should be considered a perquisite under section 17(2) of the Income-tax Act, 1961. The Court determined that the tax amount paid by the employer is to be added to the employee's gross salary for tax calculation purposes, rejecting the argument that it would result in 'tax on tax.' This decision aligns with legal principles and precedents, establishing that the tax paid by the employer is a taxable perquisite for the employee. en-us Thu, 03 Sep 1998 00:00:00 +0530 Sat, 03 Sep 2011 18:32:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=16262 The High Court of Karnataka ruled in favor of the Revenue, holding that the income tax paid by the employer on the employee's salary should be considered a perquisite under section 17(2) of the Income-tax Act, 1961. The Court determined that the tax amount paid by the employer is to be added to the employee's gross salary for tax calculation purposes, rejecting the argument that it would result in 'tax on tax.' This decision aligns with legal principles and precedents, establishing that the tax paid by the employer is a taxable perquisite for the employee. Case-Laws Income Tax Thu, 03 Sep 1998 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=16262