01 September 2012
If employee has been given a car for conveyance by employer and the EMI of the car is being deducted from the monthly salary, then how should it be treated while calculating taxable salary?
04 September 2012
Sushant, the car is owned by EMPLOYER. EMI is paid by the employee. This should be viewed as LOAN from employee to employer. (Mostly you are HIDING some arrangement between the employer and employee) I know few employers that such arrangements are done and the CAR is transferred to employee at some nominal value say INR1 or INR50 etc. Check the financial lease option.
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