Which One Is Right for Me?
New car, existing car, new home, existing home ā each has a different structure, tax angle, and end outcome. Find the one that fits your situation.
Which structure gives you the most under IT Rules 2026?
Earning ā¹30L+?
Home lease first. ā¹2ā4L/year. Perquisite unchanged.
Buying a car?
Choose EV. ā¹2,000/mo perquisite vs ā¹5,000ā7,000 for ICE.
Already own a home?
Equitable mortgage unlocks 80% LTV. No sale, no stamp duty.
Own a car already?
Hypothecation route: keep ownership, get full Rule 15 benefit.
Salaried professionals wanting a home
How it works
NBFC acquires the house in a dedicated SPV ā SPV leases to employer ā employer provides as accommodation perquisite
Tax treatment
Rule 15 perquisite: 10% of salary (metro), 7.5% (Tier-2), 5% (Tier-3). "Salary" for Rule 15 = Basic + DA + Commission only. Full lease rental deducted pre-tax.
At lease end
SPV dissolved under Section 455. House vests in employee at ā¹1. No stamp duty on dissolution. No property transfer registration required.
Best for
Professionals earning ā¹25L+ CTC in metro cities. Houses ā¹30Lāā¹5Cr. Tenure 10ā20 years.
Biggest benefit under IT Rules 2026 ā home lease saves ā¹2ā4 Lakh/year for ā¹30L+ earners. Perquisite: only 10% of basic salary ā unchanged while car rates tripled.
Biggest benefit under IT Rules 2026Salaried professionals wanting a new car
How it works
NBFC acquires the car in a dedicated SPV ā SPV leases to employer ā employer provides as perquisite under Section 17(2). Choose an EV for ā¹2,000/month perquisite ā the lowest rate under IT Rules 2026. ICE cars: ā¹5,000ā7,000/month. Same SPV structure, same ā¹1 acquisition at lease end.
Tax treatment
Rule 15 perquisite (IT Rules 2026): EV ā¹2,000/month ā” (best) Ā· ICE ā¤1,600cc ā¹5,000/month Ā· ICE >1,600cc ā¹7,000/month. Full lease rental is a pre-tax CTC deduction.
At lease end
SPV dissolved under Section 455, Companies Act 2013. Car vests in employee at ā¹1. No RTO transfer. No RC book change required.
Best for
Professionals earning ā¹15L+ CTC. EVs and cars ā¹5Lāā¹80L. Tenure 3ā5 years.
EV: ā¹2,000/mo Ā· lowest perquisite under IT Rules 2026
EV: ā¹2,000/mo Ā· lowest perquisiteProfessionals who own a home and want to optimise their CTC
How it works
Option A ā Sell to SPV: Employee sells house to SPV at FMV. SPV leases back to employer. Full Rule 15 accommodation perquisite applies.
Option B ā Equitable Mortgage: Employee creates equitable mortgage in favour of NBFC (0.2% stamp, one-time). Benefit under Section 17(2)(viii). Employee retains title. 80% LTV liquidity available.
Tax treatment
Option A: Long-term capital gains at 12.5% (if held 2+ years). Then full Rule 15 accommodation benefit. Option B: FMV-based benefit, no capital gains event.
At lease end
Option A: SPV dissolves, house vests back at ā¹1. Zero stamp on re-acquisition. Net outcome: LTCG cost at sale, then ongoing benefit + ā¹1 return. Option B: Mortgage released, title always with employee.
Best for
Houses held 2+ years. Option A LTCG rate (12.5%) makes payback typically under 2 years for houses with low indexed cost.
12.5% LTCG on sale ā often recovered within 2 years of structured benefit
Professionals who already own a car and want to unlock the CTC benefit
How it works
Option A ā Sell to SPV: Employee sells car to SPV at Fair Market Value (FMV). SPV leases back to employer. Full Rule 15 benefit applies.
Option B ā NBFC Hypothecation: Employee hypothecates car to NBFC via Form 35 (ā¹200 stamp). Benefit claimed under Section 17(2)(viii). Zero upfront cost.
Tax treatment
Option A: Short-term capital gain on sale (if held <36 months). Then full Rule 15 benefit going forward. Option B: Section 17(2)(viii) benefit ā value determined by FMV. No STCG.
At lease end
Option A: SPV dissolves, car returns at ā¹1. Option B: Hypothecation released, car continues with employee.
Best for
Cars with significant market value, low written-down value. Option A payback typically under 18 months for cars valued ā¹10L+.
Option B: ā¹200 stamp + zero STCG ā quickest path to benefit
Use the calculator to model your specific situation, or register your company and we'll recommend the right structure.