India - Income Tax Act 2010 - Saarc

S. 115WB I.T. ACT, 1961 1.59654[Provided that any person eligible for exemption under clause (23C)of section 10 or registered under section 12AA or a political partyregistered under section 29A of the Representation of the People Act,1951 (43 of 1951) shall not be deemed to be an employer for thepurposes of this Chapter;](b) “fringe benefit tax” or “tax” means the tax chargeable under section115WA.B.—Basis of chargeCharge of fringe benefit tax.115WA. (1) In addition to the income-tax charged under this Act, there shall becharged for every assessment year commencing on or after the 1st dayof April, 2006, additional income-tax (in this Act referred to as fringe benefit tax)in respect of the fringe benefits provided or deemed to have been provided byan employer to his employees during the previous year at the rate of thirty percent on the value of such fringe benefits.(2) Notwithstanding that no income-tax is payable by an employer on his totalincome computed in accordance with the provisions of this Act, the tax on fringebenefits shall be payable by such employer.Fringe benefits.115WB. (1) For the purposes of this Chapter, “fringe benefits” means any considerationfor employment provided by way of—(a) any privilege, service, facility or amenity, directly or indirectly, providedby an employer, whether by way of reimbursement or otherwise,to his employees (including former employee or employees);(b) any free or concessional ticket provided by the employer for privatejourneys of his employees or their family members; 55 [***](c) any contribution by the employer to an approved superannuationfund for employees 56 [; and]57[(d) any specified security or sweat equity shares allotted or transferred,directly or indirectly, by the employer free of cost or at concessionalrate to his employees (including former employee or employees).Explanation.—For the purposes of this clause,—(i) “specified security” means the securities as defined in clause (h)of section 2 of the Securities Contracts (Regulation) Act, 1956 (42of 1956) 58 59 [and, where employees’ stock option has been grantedunder any plan or scheme therefor, includes the securitiesoffered under such plan or scheme];54. Inserted by the Taxation Laws (Amendment) Act, 2005, w.e.f. 1-4-2006.55. Word “and” omitted by the Finance Act, 2007, w.e.f. 1-4-2008.56. Inserted, ibid.57. Inserted, ibid. See also Circular No. 9/2007, dated 20-12-2007. For details, see Taxmann’sMaster Guide to Income-tax Act.58. For clause (h) of section 2 of the Securities Contracts (Regulation) Act, 1956, see footnoteNo. 9 on page 1.27.59. Substituted for “and includes employees’ stock option” by the Finance Act, 2008, w.e.f.1-4-2008.