Form 12BA could be a statement that details the perquisites and other fringe benefits together with profits in lieu of an employee’s salary. Perquisites, or perks as they’re called, are granted to employees for their service.

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What do Perquisites mean?

Form 12BA is all about Perquisites. Hence, it’s important to know what’s first before knowing about the shape. Perquisites are literally the special privileges that you just receive from an employer within the type of benefits and perks. This includes holiday expenses, travel costs, club expenditures, accommodation, logistics, car, gas electricity, water, free meals, gift vouchers, loan discounts, transfer of assets to employees, stock options, free education, sweeper, gardener, watchman, a private attendant or secretary. There are other perquisites that qualify to be stated within the perquisites but as an employee, this type should be submitted together with the shape 16 submissions.

Form 12BA

What is Form 12BA?

An employee or staff receives ‘perquisites’ from his work, Form 12BA is provided by the employing party to the worker. Perquisites are basically the advantages, that are derived from a designation or a footing and are added to the regular salary that’s already being paid to the worker. a number of the only perquisites example include interest-free loan, automobile, medical facility, extra MasterCard, a furnished or unfurnished house without rent for outstation employees.

This form could be a detailed statement with information regarding perquisites, other fringe benefits, or perhaps amenities still as profits that are in lieu of salary. in step with the revenue enhancement Act, there are some rules for calculating the ultimate financial value of those perquisites. the worth of those payments is represented within the form and also the quantity that’s taxable for the individual employed for availing these perquisites. this can be a further form that employees receive from their employer additionally to create 16. “Value of Perquisites u/s17(2) of the taxation Act” is already included within the Part B of the shape 16.

Form 12BA Applicability

For people who are earning income from Salary, the documents Form 16, and Form 12BA are provided by their employer which has a small print about their salary, tax deducted at source (TDS) moreover as perquisites by their employer.

These are meant to be used while computing liabilities likewise as filing tax returns per the Income Taxation law in India. Taxation on income has the main points of Form 16. However, Form 12BA adds to the small print of Perquisites provided by the employer to the employee. However, it’s important to know that Form 12BA is applicable to any employee regardless they receive any perquisites or not. those who don’t have any perquisites from the corporate too should receive the identical, stated by their employer that they need not receive any perquisites from the employer within the form.

Form 12BA Format and the way to fill the Form?

The first section of Form 12BA:

The first part of the shape gives details about the employer further because the employee is shown within the image below. The Employer Details require you to fill in the Name and Address of the Employer, additionally as their TAN Number. Note that even an individual’s PAN number incorporates an Assessing Officer Code in Form 16. But within the case of Form 12BA the Assessing Officer Code of the employer that’s related to the TAN number is specified, specifically detailing the realm or jurisdiction to which the Employer belongs. the worker Details include Name and Designation of the worker, PAN Number of employee and at last the twelvemonth. which in Form 16 is mentioned as Assessment Year, although their value is the same.

Form 12BA

First Section of Form 12BA

Value of Perquisites Section:

As you’ll be able to see in the image below, all the small print of the perquisites and their amount are often calculated here. There are, however, three columns for every that include as per rules, the amount recovered from the worker and the number of perquisites that are taxable.

Value of Perquisites Section

Details of Tax Section:

This entry relies on Form 16, and every one of the small print should be already available within Form 16 for the worker. the image given below adds more clarity to the current section.

Details of Tax Section

Declaration from the Employer Section: This must be filled up by the employer and every one of the main points here is simply for the declaration for the person held to blame for the knowledge provided within the form, as shown below within the following image of the shape.

Declaration from the Employer Section

Form 12BA and Form 12B

People often confuse Form 12BA with Form 12B, because the difference is over just the added letter. Form 12B is required when people change their job within the middle of twelve months. the small print of previous employment is provided to the new employer of the worker is provided in Form 12B. Changing jobs often causes a situation where an employee gets tax exemptions twice than what he’s privileged to from his earlier employer and from his new employer. The income earned from the sooner job should be clubbed together with the income from the newer job to calculate the entire tax that’s payable for the year.

Where am I able to find Form 12BA?

This form is accessible online as a pdf download which should be printed and filled out. However, some websites provide the surplus option of downloading an excel sheet which might be filled on the system itself through MS Excel and then finally printed out. this can be a faster option for companies with a higher number of employees to hide.