04 February 2010
A car (1800cc) is owned by the employer (cost of the car being Rs.4,80,000). X, an employee, can use it partly for official purposes and partly for private purposes. Expenses are, however, incurred by X. During the previous year 2009-10 the total expenditure incurred by X is Rs. 50,000 on car and Rs. 20,000 on driver. what wil be the taxable perquisites in salary.??
05 February 2010
Hi Geet, as the car is owned by the employer but the expenses are met by the employee, the perquisite value will be calculated as under : for car 600*12 7,200 for driver(not provided by the employer) Nil Perquisite value of the car 7,200 Nothing is deductible in respect of amount recovered from the employee. Regards, CA Shakuntala Chhangani
CAclubindia
