Example:- X, a director-employee of a private sector company based at Indore (population: 24Lakhs), draws 90,000 p.m. as basic salary. Other allowances and benefits attached to his office are: DA (forming part of Salary): 20% of basic salary; bonus: 30% of basic salary; commission: 800 p.m. and rent free house (lease rent paid by the employer: 40,000 p.m.) Determine the value of perquisite.

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..... ming part of Salary): 20% of basic salary; bonus: 30% of basic salary; commission: 800 p.m. and rent free house (lease rent paid by the employer: 40,000 p.m.) Determine the value of perquisite.
Sal .....

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..... n = 800 x 12 = 9,600 Bonus = 30% x 10,80,000 = 3,24,000 TOTAL 16,29,600 TAXABLE VALUE IS LOWER OF THE FOLLOWING: * 15 % x 16,29,600 = 2,44,440 * 40,000 x 12 = 4,80,000 ₹ 2,44,440 is lowe .....

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