If an employee has taken an interest free loan of Rs. 2000000/- from a company on 1st april 2008 and started repaying the loan @ 25000 per month through deduction from his salary starting from september 08. How will be the perk valued in this case for the employee for f.y.08-09? plz help
11 Replies
Shudhanshu Agrawal
(Business)
(2570 Points)
Replied 13 February 2009
From who's point of view u want to know the answer........company or employee??
CA Ayush Agarwal
(Kolkata-Pune-Mumbai)
(27186 Points)
Replied 13 February 2009
HI,sweta, here perquisite value of interest free loan is calculated on basis of sbi loan interst rate, which will be given in problem, from 01/04/2008 to 31/08/2008 - ineterst rate on 20 lacs from 01/09/2008 to 30/09/2008 - interest rate on 20 lac - 25000/-i.e on 1975000/- & ---------------------- so on..................
CA Ayush Agarwal
(Kolkata-Pune-Mumbai)
(27186 Points)
Replied 13 February 2009
HI, sudhanshu , perquisite value always on basiss of employee, it will never on company valuation.
(Guest)
As per IT interest free loan are valuate as perquisite for calculation the income base rate is loan interest rate from SBI as mentioned by ayush and minus the actual interest paid (if any) it is applicable for all types interest free loans. for more details please refer incometaxindia.gov.in
>> Rajesh
CA. Ashok shah
(CHARTERED ACCOUNTANT)
(333 Points)
Replied 14 February 2009
There are five steps. 1) Find out SBI’s Rate of Interest for same purpose for which loan was taken as on the first day the FY in which loan was taken 2) Find out Maximum outstanding monthly balance 3) Calculate interest for each month with SBI rate on the outstanding amount as mentioned in step-2 4) From the total interest calculated for entire year, deduct interest if any, paid to employer during the year and 5) Balancing amount is value of perquisite.
shailesh agarwal
(professional accountant)
(7642 Points)
Replied 16 February 2009
THANKS CA-ASHOK SETH
Rahul Varma
(Asst. Manager-FInance )
(61 Points)
Replied 15 July 2009
Dear Mr. Ashok & all ,
just i want to confirm that if the employee not paid the loan in the FY 2008-09 .
thn Perk. is applicable or not. If , yes , Is the same process as above mentioned or not?
Rahul Varma
(Asst. Manager-FInance )
(61 Points)
Replied 15 July 2009
Dear Mr. Ashok & all ,
just i want to confirm that if the employee not paid the loan in the FY 2008-09 .
thn Perk. is applicable or not. If , yes , Is the same process as above mentioned or not?
praveen
(Chartered Accountant)
(6971 Points)
Replied 15 July 2009
| Originally posted by :Rahul Varma | ||
| " | Dear Mr. Ashok & all , just i want to confirm that if the employee not paid the loan in the FY 2008-09 . thn Perk. is applicable or not. If , yes , Is the same process as above mentioned or not? |
" |
the same would be applicable.
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