Annuity paid by employer

This query is : Resolved

Guest

Guest (Querist)

17 September 2014 An employee is provided personal accident policy by the employer and premium of which Rs 5000 paid by employer.

Is it is a taxable perquisite?

@VaibhavJ

@VaibhavJ (Expert)
Follow

17 September 2014 Hi

Is it for all employees or for specified employees,

If GPA taken then same is not taxable perquisite.

Thanks

@VaibhavJ

@VaibhavJ (Expert)
Follow

17 September 2014 Hi

If employer pays any insurance premium on behalf of his employee then it will be regarded as income of the employee and it will be added in the gross salary as perquisite U/s 17(2)(V) .

However the following two insurance premium paid by the employer on behalf of employee shall not be taxable for employee:
a) Medical Insurance Premium;
b) Personal Accident Insurance Premium.

Thanks

Guest

Guest (Querist)

17 September 2014 Thanks very much
Is only two ie Medical insurance premium
and personal Accident insurance premium are excluded,Or there other insurance premium also.

@VaibhavJ

@VaibhavJ (Expert)
Follow

17 September 2014 Hi

Its only two at present..

Thanks

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now