Filing of return

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

21 May 2013 I AM A CA FINALIST. I EARNED 2000 P.M AS STIPEND FROM MY ARTICLE SHIP . I HAD NO OTHER INCOME. IS IT BETTER TO FILE ITR FOR FUTURE BENEFIT.

Ganeshbabu K

Ganeshbabu K (Expert)
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21 May 2013 You cannot file ITR because you have nil taxable income.(as u said u have only stipend income)

Income received in the form of stipend is exempt from income tax sec10(16)

please refer below case also

sudhir kumar sharma(CA article) Vs ITO

It is held that CA article clerk joins a C with a view to learning the work and receiving training.A newly recruited graduate is not supposed to have any knowledge of work of chartered accountant and therefor no contribution will be made by him in the work nor he can assist the chartered accountant in his work.

The payment was made out to meet the cost of books ,coaching fee,examination fee etc.,

The stipend received by assesse was not his income and therefor not taxable..

Querist : Anonymous

Querist : Anonymous (Querist)

21 May 2013 thanks a lot sir .

C A S.S.Agarwal, M.Com.,LL.B,

C A S.S.Agarwal, M.Com.,LL.B, (Expert)
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09 July 2013 I agree with the expert but I am of the opinion that there is no harm if you submit your income tax return because you are keeping the money in Savings account and you must have earned some interest. Now, if out of stipend you are saving something then after few years how can you prove that the money which you own is out of your savings?

Ganeshbabu K

Ganeshbabu K (Expert)
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09 July 2013 dear author for your reference

1)if you have any other income other than stipend income it is taxable

2)interest from saving bank is exempt up to 10000 as per section 80 TTA

Thanks & regards
Ganesh babu k

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