2011 (9) TMI 728

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....by giving security deposit for the benefit of employees, whether the notional interest on such security deposit is liable to be included in the perquisite value of the accommodation given to the assessee employee is the question raised in this appeal?   2. The Assessment Year involved here in A.Y.20012002.   3. The Assessee is a salaried employee with McKinley and Company Inc., Ind....

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....e Assessee and accordingly, the Assessing Officer enhanced the perquisite value of the residential accommodation provided to the Assessee.   5. On appeal filed by the Assessee, the CIT(A) upheld the decision of the assessing officer. On further appeal filed by the assessee, the ITAT held that under Rule 3 of the IT Rules, 1962 as amended with retrospective effect from 1.4.2001, the value o....

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..... Accordingly, the ITAT held that as per the amended Rule 3, the perquisite value of the accommodation given by the assessee is liable to be accepted. Challenging the above said order, the revenue has filed the present appeal.   7. Mr.Suresh Kumar, learned counsel appearing for the revenue submitted that since the employer has paid a sum of Rs.30.0 lacs for obtaining the residential premis....

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....evious year shall be determined on the basis provided in the Table below:" Sl. No. Circumstances Where the accommodation is unfurnished Where the accommodation is furnished (1) (2) (3) (4) (1) ................. ................. ................. (2) Where the accommodation is provided by any other employer and (a) ................ (b) Where the accommodat....