I am getting a monthly reimbursements of Rs6500/- on account of car petrol and driver. Post budget and abolition of FTB - will this amount become taxable?
10 July 2009
Dear Manish, you have rightly pointed out in your query that the post abolishing FBT certain reimbursements etc. will be treated as part of perquisite under section 17 of The IT Act, accordingly be taxable in the hands of the employee. A full circular, as announced in his speech, be issued and containing the rules for perquisite valuation and items of perquisites in due course.
CAclubindia
