Essay Benefits And Benefits Of Employee Employees
Fringe benefit refers to the benefit that is provided toan employee or an associate of the employee by the employer or associate of an employer in any given year in respect of the employment of the employee. It refers to any benefit that is provided over and above the salary of an employee. Benefit refers to anything that is provided to the employee by the employer which he would actually have to incur himself if the benefit was not provided by the employer.
It aims at levying tax on the benefits that cannot be availed by the employee or an associate of employee but cannot be converted into cash. All the benefits that are provided are in respect of the employment of the employee.
An employer can either be a former employer, current employer or the future employers. Therefore, all the employers who provide a benefit to their past, present or future employee would be covered under the purview of Fringe Benefit Tax if they provide such benefit with respect to the employment of the employee in their organization.
For all the goods on which Fringe Benefit tax is payable, credit for the GST can be availed for the same if GST has been paid for the goods.
All the items of forming part of remuneration package for Alan have been hereby discussed separately for the applicability of Fringe Benefit Tax:
• Salary – Salary does not form part of Fringe Benefit Tax and is thereby excluded from the purview of Fringe Benefit Tax.
• Mobile Phone Bill –In the case of…