banner_ad

Perquisite valuation

This query is : Resolved 
Profile Image

Profile Image

(Querist)
02 June 2008 A company has purchased a car which is given to one of its employees for his exclusive use. Purchase price was paid directly to the dealer by the co. Car is registered in the name of the co. As agreed between the co and the employee, the co will recover the cost of the car over a period of 36 months in equal instalments without any interest. At the end of three years, the car will be transfered in the name of employee at Re 1/-. In this context I would like to know that whether the cost of the car which recovered by the co without any interest will be subject to perquisite valuation taxable in the hands of the employee?
Profile Image

Shekar

Profile Image

Shekar (Expert)
02 June 2008 Hi...

In this case it is similar to that of company giving interest free Car loan to employee...So to value perquisite SBI rate of interest on similar Car loan is taken and calculated interest would be the value of perquisite taxable in the hands of employee....
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now


CCI Pro
Join CAclubindia WhatsApp Finance Community & stay updated with the latest TAX news, compliance alerts and important updates all in one place!


Similar Resolved Queries


loading


Unanswered Queries


banner

Trending Online Classes

view all classess

CCI Pro
Meet our CAclubindia PRO Members
Subscribe Now

Follow us
add to google news



Answer Query



Quick Links



Browse by Category




Latest Job Openings

View all
Company
29 May 2026
Accounts assistant

Shubh Consultancy

Mumbai

Graduate (Any)

View Details
Company
04 June 2026
Semi Qualified CA

Goyal Puneet & Associates

New Delhi

CA Final

View Details
Company
09 May 2026
Audit Manager

Kanna and Associates

Coimbatore

CA Inter

View Details
Company
26 May 2026
Education Content Creator

Adyayam Education LLP

Bengaluru

CA Foundation

View Details
Company
29 May 2026
Company Secretary - Part time

Shaswat initial support private limited

Ahmedabad

CS

View Details
Company
ARTICLESHIP 27 May 2026
CA Article Trainee

Rahul Dang & Associates-Chartered Accountants

Pune

CA Inter

View Details
Company
24 May 2026
Accounts & Tax Executive

PARAS KHURANA AND CO

New Delhi

B.Com

View Details
Company
Featured 28 May 2026
SEMI QUALIFIED/ CA DROPOUTS/ ARTICLES

T R SOOD & CO

New Delhi

CA Inter

View Details