Taxability of employer's contribution exceeding Rs. 7.50 lacs

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From AY 2021-22, employer contributions to PF/Superannuation above Rs 7,50,000 are considered taxable perquisites for the employee. This threshold applies to the aggregate amount contributed by all employers, not per individual employer, if an employee works for more than one. The total contribution exceeding this limit is taxable in the employee's hands.

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(Querist)
30 November 2021 As per budget 2020, Employer's contribution to PF / Superannuation exceeding Rs. 7,50,000/- is taxable perquisites in the hands of employee for A Y 2021-22. Whether such threshold limit of Rs 7.50 lacs is applicable to each employer if the e,mployee works under more than one employer? kindly clarify
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Dhirajlal Rambhia

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Dhirajlal Rambhia (Expert)
30 November 2021 NO. IT SHOULD BE AGGREGATE AMOUNT DEDUCTIBLE UNDER EMPLOYEE'S HAND.
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CA R SEETHARAMAN

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CA R SEETHARAMAN (Expert)
30 November 2021 Such threshold limit is applicable for all employers consolidated.
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Dhirajlal Rambhia

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Dhirajlal Rambhia (Expert)
30 November 2021 THANKS FOR THE UPDATE.
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CA R SEETHARAMAN

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CA R SEETHARAMAN (Expert)
30 November 2021 You are welcome.......
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