New Delhi, Oct. 25 -- If you have received an interest-free loan or a loan at a lower-than-market interest rate from your employer, it can make borrowing cheaper than taking a loan from a bank. However, under income-tax rules, this benefit has tax implications.

Here's what this concessional loan means, how the taxable amount is calculated, and when the benefit is exempt.

When an employer provides an interest-free or concessional loan to an employee or a member of their household, the value of such benefit is taxable as a "perquisite".

A perquisite is a benefit or facility provided by an employer in addition to an employee's salary. It arises when employers offer loans for personal purposes such as education, medical treatment or marria...