*Very much thoughtful: We are not requesting our bank management to absorb the tax liability on the interest-free and concessional loans provided to employees without valid reasoning. There is a clear and justifiable rationale behind this request.* *It is essential to understand the fundamental difference between staff loans and public loans. Public loans incur significant costs for the Bank, including expenses related to marketing, sourcing, appraisal, follow-up, and recovery efforts. Moreover, public loans carry a higher risk of becoming non-performing assets (NPAs) and generating financial losses.* *In contrast, staff loans provided to employees at concessional rates involve zero operational costs for the Bank and virtually no risk of NPAs. These loans do not require marketing, follow-up, or recovery efforts, as they are granted within the framework of employee benefits. Importantly, such loans enable employees to meet their family and social commitments effectively.* *The Government of India sponsors numerous loan schemes aimed at the welfare of the public and even the corporate sector. These schemes are implemented through the banking channel at concessional rates, often below the Prime Lending Rate (PLR). However, the Tax Deducted at Source (TDS) on the value of such concessional loans is neither recovered from the beneficiaries nor from the Government.* *Furthermore, when beneficiaries of these schemes default on their repayments, the outstanding amounts—running into crores—are often waived or written off by both the Government and the banks.* *Can you provide the details, how much has been waived or written off from the staff loan portfolio by the Bank over the past 100 years due to default in payment by the employee or his/her family members ?* *These benefits foster a sense of ownership, responsibility, and loyalty among employees, ultimately enhancing their productivity and commitment to the organization.* *It is crucial to consider these factors while engaging with the Management and other Government Agencies on this matter.*