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Please help me infoerming whether my son has to pay tax

Tax queries 211 views 6 replies

My son submitted his PHD thesis in April 2017 and from May to mid September worked as an intern from which he earned Rs 2,54,000 ( per month RS 60,000 ). In October he went to US for post doctoral reasech and gets around $ 3,500 ( after paying dual tax there ) per month .

 

My question is whether he has to pay the tax in India for the finanacial year 2017-18 and if he has to then what will be the sum and why ?

 

NB : He has two insurance polices for which he pays Rs  25000 and Rs 16000 per annum as premium and has no other investment.

Replies (6)

His status for FY 2017-18 remains Resident (ROR).

He is liable to file return with salary earned of Rs. 2.54 L alongwith any other source of income earned.

Depending upon the nature of payment of $ 3500 PM, which may be taxable if salary/wages or may not be taxable in case of stipend, which requires to be invetigated.

If taxable, he can get rebate under DTAA, for the taxes paid in US.

He can claim deduction u/s. 80C for insurance premium paid, from taxable income, if any.

Thank you for your reply .

Most Welcome ..   

Does he have to fill IRT 2 form ? I have talked to few prople who are tax consutants, 3/4 are saying he does not have to but 1/2 said he has to , please help  me

 

His aggregate global income exceeds basic exemption limit of 2.50 lakhs, and as he is resident indian for FY 2017-18, he must file return.......

Thank you very much Sir


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