Gratuity Under Income -Tax

Any gratuity received after death of a person  who died while in service is fully exempted circular

no 573 dt 21/8/90

AGREED

agreed with above

k.... that a Lot to All.

yet I want to know If any person  is died in  Previous Year or Assestment year then who is Responsible for Payment of  Income Tax  or submit the IT Return ??????

Originally posted by : Vikky Vasvani
	k.... that a Lot to All.   yet I want to know If any person  is died in  Previous Year or Assestment year then who is Responsible for Payment of  Income Tax  or submit the IT Return ??????

In case of assessee died, as per Section 159, leagl representative is deemed to be assessee for all purpose of income tax act. leigal reprezsentative would act as a representative on behalf of deceased person. Thus, he can file return in the name of deceased person. Further, section 159 also provides :

For the purpose of making an assessment (including an assessment, reassessment or recomputation under section 147) of the income of the deceased and for the purpose of levying any sum in the hands of the legal representative in accordance with the provisions of sub-section (1),—

             (a)   any proceeding taken against the deceased before his death shall be deemed to have been taken against the legal representative and may be continued against the legal representative from the stage at which it stood on the date of the death of the deceased;

             (b)   any proceeding which could have been taken against the deceased if he had survived, may be taken against the legal representative; and

              (c)   all the provisions of this Act shall apply accordingly.

Legal representative can file return and claim income tax refund on behalf of deceased assessee as deemed assessee.