Implication of 194d on itr

Dear Sir,

My client get a payment from LIC under section 194DA for Rs. 4,59,078/- after deduction tds 9,182/-, which was also reflected on 26AS of my client. 

My question is whether this amount of Rs. 4,59,078/- will be added with Business Profit for income tax return. For example if I file the return - TOTAL INCOME IS RS. BUSINESS PROFIT RS. 4,50,000/- + 4,59,078/- = RS. 9,09,078/-. Please solve my queries. Thanks  

Replies (1)

Depends upon the nature of policy. In most of the cases, only profits/bonus/income of the proceeds is taxable. So, deduct the premium paid amount from the above.

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