FB Valuation of Housing Privilege
Cases:
-residential property LEASED by employer for use of
employee as his usual place of residence
-residential property OWNED by employer and assigned to
employee for use as his usual place of residence
-residential property PURCHASED by employer on
INSTALLMENT basis for use of employee as his usual place
of residence
-residential property PURCHASED by employer and
OWNERSHIP TRANSFERRED to employee
-residential property TRANSFERRED to employee AT LESS
THAN ACQUISITION COST by employer
-housing privilege of military officials (AFP, PNavy, PAF)
-housing unit adjacent to business establishment or
factory
-temporary housing for the employee
Valuation:
VaBe = amount of rental paid by the employer
MoVa = 50% of VaBe
Annual VaBe = 5% of the market value of the land and
improvement as declared in the RPT declaration form or
zonal value as determined by the commissioner,
whichever is HIGHER
MoVa = 50% of VaBe
Annual VaBe = 5% of the acquisition cost exclusive of
interest
MoVa = 50% of VaBe
VaBe = acquisition cost or zonal value whichever is higher
MoVa = 100% of VaBe (entire value)
VaBe = diferrence between (higher FMV based on RPT
declaration form and zonal value) and cost to the
employee
MoVa = 100% of VaBe (entire value)
shall not be treated as taxable FB per existing doctrine that
the state shall provide necessary quarters accessible from
the military camp to meet exigencies of their military
service
shall not be treated as taxable FB. ( it is adjacent to the
premises if it is located within the maximum 50 meters
from the perimeter of the business premises
≤3 months shall not be treated as taxable FB