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Car benefits, lease vs buy, perquisite tax

If you have a car benefit in your CTC โ€” lease, car allowance, fuel reimbursement, or a company-provided car โ€” these calculators show you the exact tax impact and which option puts the most money in your pocket.

๐Ÿ’ก Key rule: Car lease is pre-tax

When your employer structures a car lease in your CTC, the lease amount is deducted from your gross salary BEFORE TDS is calculated. At a 30% tax bracket, a โ‚น15,000/month lease saves you approximately โ‚น5,600/month in tax โ€” making it significantly better than taking the same amount as cash.