The imputed income is an estimated value of the employees’ non-cash benefits. In single and simple terms the income you will get is in the form of money. Even though it’s a perk of privilege the government still wants the share from it.
Taxation aims to capture any person’s total economic well-being. If you are getting any benefits from your saved money. That means your imputed income will also be on track even when you are not making income through your salary increase.
For example your company car, gym memberships, etc. When your employers provide you with a car for both work and personal care. While you are enjoying the benefits that would cost money or you are getting through the lease. The estimated values of leasing a similar car are considered as the imputed income.
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