Fringe Benefits – Benefits granted to relatives of employees and others

Paragraph 16 of the 7th Schedule prescribes that an employee is deemed to have been granted a taxable benefit by his / her employer if, as a reward for services rendered or to be rendered by the employee —
– the employer has granted a benefit or advantage directly or indirectly to a relative of the employee; or
– anything is done by the employer under any agreement, transaction or arrangement so as to confer any benefit or advantage upon any person other than the employee, whether directly or indirectly, and
– the benefit or advantage would have been a taxable benefit if it had been granted to the employee.