Query ????

Any sum paid by the employer in respect of any obligation which, but for such payment, would have been payable by the assessee is perquisite in the hands of the Employee and it is expenditure to the company

So in your case the employee is getting the Driver's Salary and the Motor car running Expense, so it is perquisite and the same is expenditure to the company

If I am wrong then tell me the same

As per Sec 17 (2) (iv) Prequisites include:

Any sum paid by the employer in respect of obligation which, but for such payment, would have been payable by assessee. So it is perquisite and the same is expenditure to the company.

 Yes the Driver's Salary and the Motor car running expenses both will be considered as perquisites in the hands of the employee and the same will be expenditure in the hands of the company.....

This would be if the amount is reimbursed to the employee for all these expenses. Employer will also have to do TDS or there is a provision to bear the tax on the perks.

However, if any expense incurred by employee is the expense during regular course of business of the employer, if he is being reimbursed by the employer he must take a certificate that it is the business expenditure of the employer's business for which reimbursement is given and accordingly accounted for by employer.