25 June 2013
My friend is an artist and he received a grant from US. The grant is given as aid to develop his art studio and his works.Whether it will be part of taxable income and under which head it has to be included. Please clarify
25 June 2013
In case the friend is Resident in India, in my view the Grant so received will be taxable in India under the head PGBP. However, tax credit may be availed under the Treaties or under the provisions of Income Tax-Act itself, in case, the income is already taxed in that foreign country.
CAclubindia
