Exercise of revisional jurisdiction u/s 263 for adjustment of FBT in book profit

Rashtriya Chemicals & Fertilizers Limited Vs. CIT (ITAT Mumbai) Taxes borne by the assessee on non-monetary perquisites provided to employees forms part of Employee Benefit cost and akin to Fringe Benefit Tax since they are certainly not below the line items since the same are expressively disallowed u/s 40(a)(v) and the same do not constitute Income Tax for the assessee in terms of Explanation-2. This view of ours is duly fortified by the judgment of Tribunal rendered in ITO Vs. Vintage Distillers Ltd. [130 TTJ 79] where the Tribunal has taken the view that the term ‘tax’ was much wid...