Perquisites - Overview - clause (2) of Section 17 - Income Tax - Ready Reckoner - Income Tax

Perquisites - Overview - Section 17 Clause (2) of section 17 PERQUISITE includes Accommodation provided to the employees by his employer at free of cost or at concessional rent Value as per Rule 3(1) Value of any benefit or amenity granted or provided free of cost or at concessional rate to SPECIFIED EMPLOYEES i.e. Motor car Value as per Rule 3(2) Sweeper, Gardener, Watchman etc. Value as per Rule 3(3) Gas, Electricity Water Value as per Rule 3(4) Free Education Facility Value as per Rule 3(5) Free / Concessional Fare Value as per Rule 3(6) Leave Travel Concession subject to exemption u/s 10(5) But medical facilities provided are taxable as per proviso to Clause (2) of section 17 Specified Employee means A Director employee of a Company An employee who has substantial Interest in the Company An employee whose income under head Salaries exceeds 50,000/- for the P/Y iii. Any sum paid by the employer in respect of any obligation on behalf of the employee iv. Sum payable by the employer to effect an assurance on the life of the employee or to effect a contract for an annuity v. The value of any specified security or sweat equity shares allotted or transferred, whether directly or indirectly, by the employer or former employer, Free of cost or at concessional rate to the assessee. vi. Any sum paid by the employer in discharging the monetary obligation of the employee which otherwise would have been payable by the employee. vii. the amount or the aggregate of amounts of any contribution made to the account of the assessee by the employer- (a) in a recognised provident fund; (b) in the scheme referred u/s 80CCD(1); and (c) an approved superannuation fund, to the extent it exceeds Rs. 7,50,000/- in a PY. viii. the value of any other fringe benefit or amenity as may be prescribed Concessional or Interest free Loan As per Rule: 3(7)(i) Travelling, touring accommodation other than LTC As per Rule: 3(7)(ii) Free food beverages to the employees during office hours As per Rule: 3(7)(iii) Gift to the employees As per Rule: 3(7)(iv) Credit card expenses include membership fees annual fees As per Rule: 3(7)(v) Expenditure on account of club expenses As per Rule: 3(7)(vi) Use of employer s any movable asset by the employee As per Rule: 3(7)(vii) Transfer / Sale of any Movable Assets to employee As per Rule: 3(7)(viii) Value of any other benefit or amenity, service, right As per Rule: 3(8) ix. Contribution by CG in the PY, to the Agniveer Corpus Fund account of an individual enrolled in the Agnipath Scheme referred to in section 80CCH . [Clause added vide amendment in FA, 2023 ]