Loans with perquisite

Loans with perquisite

If company gives loans to employees on which they charge interest which is lesser than the prevalent interest being charged by the Public Section Banks, then these loans will attract a perquisite tax. This feature is managed by creating and using "Loans with Perquisite".

Perquisite loan is created as shown below.


Like a loan the monthly instalment is adjusted against interest first and the remainder is adjusted against principal. 

Notes
Note -
  1. The perquisite tax which is calculated due to this loan is automatically added to the employee’s tax liability
  2. Details of loan calculations can be downloaded from Reports > Payroll > Employee Reports > Loan Summary and Details
  3. If you disburse loan towards the end of the month suppose on 28-Jan-2016 and updating Disbursement month as Jan-16 then interest will calculated for whole month from 1-Jan
  4. Any unpaid loan comes as outstanding amount during the Full and Final process
  5. Sample loan calculations are given in the attachment



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