An employee is having personal leased accommodation with rent Rs.10000 per month.
His eligibility for rent reimbursement from the employer (non government) is Rs.8000 only. Remaining Rs.2000 is borne by the employee.
Salary of the employee is Rs.12 lacs per annum.
How will the Accommodation Perk be calculated?
As per Income Tax Rules on Value of Perquisites, where the accommodation is taken on lease or rent by the employer, actual amount of lease rental paid or payable by the employer or 15% of salary whichever is lower as reduced by the rent, if any, actually paid by the employee.
So what should be the accommodation perk for taxation purpose? Kindly help.
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