Accident Insurance - Weekly Compensation - is it taxable?

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Insurance companies usually pay weekly compensation at the rate of 1% of the sum assured  per week for the period of Temporary Total Disablement  because of an accident. This is paid where there is No  Permanent  total or partial disablement.

Query is:  IS THIS AMOUNT OF WEEKLY COMPENSATION ON ACCOUNT OF TTD Taxable ? will it make any difference in case of a govt. employee getting this claim when he gets a paid leave also?

 

Replies (2)

Should not be taxable as capital receipt.

no                                                                            


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