Sunday, August 8, 2010

Tax on perks on staff qrs

NOINO demands RETROSPECTIVE effect on tax on perks on staff quarters

NOINO/ NOIW have demanded that LIC should bear the entire tax liability of tax on perks relating to staff quarters / leased accommodation instead of only from 2009-2010 onwards. The letter given today in this regard is reproduced, here-in-below:


The Executive Director (F & A),
L.I.C. of India.

Respected Sir,

Re: Tax on perquisites relating to staff quarters/leased accommodation

Kindly refer to your circular EDA/ZDB/932 dated 6.4.2010 regarding the above subject & other perks. The circular states that the Corporation will bear the tax on certain perquisites from the financial year 2009-10 onwards. The E & OS department has recently on 31.7.2010 issued a circular asking the various Zones to compute the data relating to Tax on perks relating to staff quarters/leased accommodation for the period 1994-95 to 2009-2010.

The circular EDA/ZDB/932 dated 6.4.2010 conveys the impression that the Corporation will not bear tax prior to Financial year 2009-2010. As per our understanding the Management had given us assurance to bear the entire tax liability. We, therefore, demand that a clarification be immediately issued regarding the period for which the Corporation would bear the tax. It is our demand that the Corporation should bear the entire tax liability for the aforesaid period.

Yours faithfully,

Ganesh Kamath

Brahmesh Hardikar
Secy., NOIW

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