Credit Card / Payment by Employer
20/01/1995
Query
Employer lodges an allowance to the credit card account of an employee. Is it a perquisite or benefit
Decision
It is a perquisite. The payment ranks no differently from an employer lodging wages to his employees bank accounts. The PAYE system applies to such allowances
Income Tax
Section 112, Taxes Consolidation Act, 1997
Origin: RLS Division
File ref:IT 95 1508