Re : Stipend taxable or exempt

It is taxable under the head "salaries"...check your deed of articles friends...where it is written that party of first part i.e. the principal is an 'Employer',,hence employer employee relationship do exist..

Mr. Deepak there exist an employer and employee relationship, as on joining of articleship we have to sign form 102 and where it is clearly written about the employer and employee relationship between the principal and article assistant. So there is no question about employer and employee's relationship existence as it is amply clear from Form 102.

Stipend  is taxable under the income tax act, as it is a form of salary paid to student.

 exempt

It is taxable, as it is a form of Salary.

Stifund is taxable under the head salary,

there is not any exemption under income tax act,

Hey guys, this topic has really distributed the views in two parts, so if anyone has an opinion about this topic i.e. is stipend taxable or not??? put your views here (with reasons including decision held on cases if any), so that it can be amply clear.

I have many friends who were working with the big 4s and there tax was being deducted on the stipend received by them during their articleship as per provisions of Section 192 and at the end of the year TDS deducted certificate in Form no. 16.

So if they are following this procedure then the same must be taxable.

Dear all stipend does not taxable as there is no employer & employee relationship exists in one s. However in other way the term " salary '" signifies a recompense or consideration given to any person for pain bestowed upon another persons business.So you can take this in tax consideration or not that depends upon you.

between a principal & his article assistant employer & employee relationship do exist because the principal has the power to control & direct the assistant...!

so the maxim  that ther is no employer-employee relationship doesnot hold good....!

It is taxable if it crosses maximum exemption limit....