Entertainment · perquisite
Gym and recreational facilities
Facilities offered uniformly at the employer's premises are excluded; individual memberships are taxable.
How the taxable value is determined
In-house recreational facilities available to all employees are excluded from perquisite value. Individually funded memberships are valued at the employer's cost.
Regime availability
- Old regime
- Prescribed value applies
- New regime
- Prescribed value applies
Documentation to keep
Facility policy showing uniform availability, or membership invoices.
Legal basis: Rule 3(7)(vi), Income-tax Rules
Frequently asked questions
Is gym and recreational facilities taxable in India?
Facilities offered uniformly at the employer's premises are excluded; individual memberships are taxable. In-house recreational facilities available to all employees are excluded from perquisite value. Individually funded memberships are valued at the employer's cost.
Does the exemption apply under the new tax regime?
Under the old regime this treatment is not applicable — the value is prescribed, not exempted; under the new regime it is not applicable — the value is prescribed, not exempted. Legal basis: Rule 3(7)(vi), Income-tax Rules.
What records should I keep for gym and recreational facilities?
Facility policy showing uniform availability, or membership invoices.
Related tools & guides
Reflects provisions in force for FY 2026-27; verify against the latest government publications (incometax.gov.in). Information, not tax advice.