Surcharge on FBT

Surcharge on FBT will be applicable irrespective of the fact, whether the income of the firm or company exceeds Rs.1 crore or not.

FBT surcharge doesnot carry any bar as of the normal surcharge, which is applicable on Income Tax depending upon level of income of assessees.

The concept of surcharge is applicable in  case of income tax and TDS ie if the income during the year exceed one crore,10% surcharge is applicable on the taxable income.Contrary  FBT is applicable on the expenditure expended by the employer.Here the concept of income is not applicable.Hence  surcharge is charged on the tax calculated on the value of fringe benefit at 30%(SC+EC+SHEC)

Please visit link www.indiataxes.com which talks about surcharge on FBT only if income exceeds the limit.

Is that correct

Tax will be levied @ 30% on the value of fringe benefits. Surcharge will be applicable on FBT in the following manner. The income of the assesse will not be considerable factor in this calculation:-

If the employer is Co-operative Society / Local authority                          Nil

If the employer is Firm / Company/ Art Judicial person                         10%

If the employer is foreign company                                                             2.5%

Cess will be applicable on (Basic tax + Surcharge) of FBT.

In the case of a firm the FBT rate will be 33.66%.

Surcharge on FBT is applicable irrespective of the fact that your income exceeds certain limit. Even if the turnover of a person is nil, but has fringe benefit tax liability, surcharge @ 10% is applicable on the same.

Surcharge is payable on FBT. The limit of Rs 1 crore is in the context of surcharge on tax liability on total income only.

surcharge is applicable for fbt below 1 crore income

What is the Rate of Surchage applicable on FBT TAX Liability

partnership firm what is the slabe for surcharg of fbt