AstraFin: tax-smart car leasing as an employee benefit

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About Astrafin

Astrafin is one of India’s leading asset leasing companies, specializing in CTC-structured car leasing, device leasing (SmartEPP), equipment leasing, and sale & leaseback solutions for corporates. It helps organizations unlock the full value of asset leasing as a tax-efficient employee benefit — enabling employees to drive brand-new cars of their choice by structuring lease rentals directly within their Cost-to-Company (CTC) package. Unlike a car loan, employees don’t pay out-of-pocket; the monthly lease rental is deducted from pre-tax income, reducing taxable salary and increasing take-home pay — with no down payment required.

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Why Connect Astrafin with Xoxoday Empuls

Integrating Astrafin with Xoxoday Empuls lets organizations offer a high-value, tax-efficient car leasing benefit as part of their employee benefits stack — with zero financial risk to the employer. H HR teams can extend a meaningful, tangible perk that helps employees drive better cars while saving significantly on taxes, all without disrupting payroll or increasing company costs. It’s a win-win benefit that drives satisfaction and retention, especially for mid-to-senior level employees.

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Benefits

For HR Teams

• **Zero employer liability: **Astrafin evaluates the corporate entity’s credibility — not individual employees — before approving leases.
• **No additional cost to the company: **Lease rentals are structured within the employee’s existing CTC, keeping employer costs unchanged.
• **Attract and retain senior talent: **A car leasing benefit adds significant perceived value to compensation packages.
• **Simple, scalable rollout: **One master agreement covers the entire eligible workforce with minimal administrative overhead.

For Employees

• **Save up to 30% on taxes: **Lease rentals are deducted from pre-tax salary, directly reducing taxable income.
• **No down payment required: **Employees can drive a brand-new car with no upfront financial commitment.
• **Drive a better car for less: **For the same monthly outflow as a car loan EMI, employees can lease a higher-value vehicle.
• **All-inclusive lease rental: **Monthly payments typically cover financing, road tax, registration, insurance, and maintenance.
• **Flexible end-of-lease options: **At the end of the lease term, employees can upgrade to a new car or purchase the current one at residual value.
• **Employee’s choice of car: **Employees select the car they want, subject to the organization’s car policy and eligibility criteria.

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How Employees Can Use Astrafin

• **CTC Car Leasing: **Structure a brand-new car lease within the employee’s existing CTC — lease rentals are deducted from pre-tax salary each month, reducing taxable income and boosting take-home pay, with no down payment and all expenses bundled into one monthly rental.
• **SmartEPP — Device Leasing: **Extend the same tax-saving CTC leasing model to smartphones and laptops — employees get access to premium devices with lease rentals deducted from pre-tax salary, with employers able to claim GST Input Tax Credit (ITC) on lease payments.
• **End-of-Lease Car Upgrade: **At the end of the lease term, employees can seamlessly upgrade to a new vehicle of their choice, keeping them in the latest models without any lump-sum financial commitment.
• **Car Purchase at Residual Value: **Employees who wish to own their leased car at the end of the term can purchase it at the pre-agreed residual value — which, under certain tri-party structures, can be as low as 5–10% of the car’s original price.
• **Salary Structuring Advisory: **Astrafin works with HR and finance teams to structure eligible CTC components correctly, ensuring compliance with tax rules and maximizing the benefit value for each employee band.

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Co-Sponsor & Deliver Astrafin Benefits at Scale

Procure Astrafin car leasing plans for your eligible workforce and roll them out through Xoxoday Empuls — making tax-smart car leasing a core part of your employee benefits package. Follow the steps below to activate Astrafin for your organization.

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Step-by-Step Setup for Admins

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Support

For setup or usage assistance, contact us at cs@xoxoday.com.