Rate5 of the State Bank of India6. 3. Section 17(2)(viii) and Rule 3(7)(i) are challenged on the grounds of excessive and unguided delegation of essential legislative function to the Central Board of Direct Taxes7. Rule 3(7)(i) is also challenged as arbitrary and violative of Article 14 of the Constitution insofar as it treats the PLR of SBI as the 1 For short, “Act”. 2 For short, “Rules”. 3 Section 17(2) of the Act defines perquisites. It specifies a list of benefits/advantages, incidental to employment, and received in excess of salary, which are made taxable as perquisites. Section 17(2)(viii) is a residuary clause that authorizes a subordinate rule-making authority to prescribe ‘any other fringe benefits or amenities’ that are liable to taxation as ‘perquisites’. 4 Before amendments brought in by Finance (No.2) Act, 2009, with effect from 01.04.2010, Section 17(2)(vi) of the Act read: “(vi) the value of any other fringe benefit or amenity (excluding the fringe benefits chargeable