What FBT rates are applicable for credit card payments

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G Krishnan (Querist)
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11 June 2009 If an employee pays for company expenses using his personal credit card. The expenses are for items that do not attract FBT. If the company re-imburses the employee for the expenses by direct payment to the credit card company, are any FBT or other taxes applicable for the company or the employee?

Parveen Bansal

Parveen Bansal (Expert)
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11 June 2009 FBT liability arises based on expense incurred NOT mode of payment.

It does not matter, whether payment os expense is settled to credit card company by employee or by company directly.