00987pab a2200181 454500 180718b2006 xxu||||| |||| 00| 0 eng d Murthy, K.S.V.L. Narasimha Fringe benefit tax 2006 p.14-18. Jan The justification given for introducing FBT is both on grounds of equity and economic efficiency. When these fringe benefits are under-taxed, it violates both horizontal and vertical equity. The violation of horizontal equity occurs when a tax-payer receives his entire income in cash and thus bears a higher tax burden in comparison to another tax-payer who receives his income partly in cash and partly in kind. And the violation of vertical equity occurs since these fringe benefits are generally provided only to the senior executives in the organization. - Reproduced. Fringe benefit tax Taxation Gowri, K. Management Accountant 68591 68591 68591 0 0 0 0 IIPA IIPA 2018-07-19 Volume no: 41, Issue no: 1 AR69047 2018-07-19 2018-07-19 AR