One of my client wants to buy life insurance policies for all the directors of the company and all his senior staff as well. He wants to route this through this scheme called employer employee. Hence, the employer will pay premium on behalf of the employee. In terms of tax treatment, the employer will claim expenses..and in the hands of the employee, it will be treated as a perquisite.

The question is whether in this case, the employer will pay FBT on behalf of the employee or will the employee be subject to tax at individual level ??

This is really urgent and I request you all learned people to give me some reference on this

Regards,

Jigar