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He was also provided with fully furnished accommodation (i.e. The total value of furniture and fittings was ,622.The total rent paid by the employee in the year was ,000.In this example, the total value of furniture and fittings of ,622 is arrived at as follows: Assume similar circumstances as in Example 1 except that the apartment is shared with another employee.It is the AV of the property less total annual rent paid by employee.Where AV is not available, take the market rent paid by the employer (including the rent paid for the furniture and fittings) minus the rent paid by employee.Fully furnished - Both fittings and furniture / household appliances are provided.See: Example 2Utilities, telephone and cable bills will be taxed based on the actual amount paid by the employer.See: Example 1 Partially furnished - Only fittings (e.g.

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Gardening/Upkeep of compound and housekeeping costs will be taxed based on actual wages paid by employer to the gardener and domestic helper. Where the employee signs a rental agreement but the employer pays the rent to the landlord, the actual rental amount paid by the employer will be taxed in full.The rental agreement between the employee and the landlord will not affect the tax treatment. Where the employee signs a rental agreement but the employer pays the rent to the landlord, the actual rental amount paid by the employer will be taxed in full.

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