LIVE GST Certification Course by CA Arun Chhajer begins 27th April. Register Now!!

Stipend is Exempted??

HITESH (chartered accountant) (441 Points)

21 June 2011

Is Stipend which is been received by the articles students is exempted??

If exempted under which section????

Reply
Follow
Share

27 Replies

Abhijeet Deshpande (Co-Founder & Manager @ Tax-Yantra) (1171 Points)
Replied 21 June 2011

Originally posted by : HITESH

Is Stipend which is been received by the articles students is exempted??

If exempted under which section????

I think its not chargeable at all.. Kindly let me know if im wrong.

TUSHAR MADAAN (ARTICLE ASSISTANT) (29 Points)
Replied 21 June 2011

Stipend which is received by articles is not exempted. It is taxable under salary head.

vivek (CA Final) (296 Points)
Replied 21 June 2011

It is taxable under the head other sources

Abhijeet Deshpande (Co-Founder & Manager @ Tax-Yantra) (1171 Points)
Replied 21 June 2011

Originally posted by : TUSHAR MADAAN
	Stipend which is received by articles is not exempted. It is taxable under salary head.

@ Tushar Definition of Salary does not cover Income from Apperentice.

@ Vivek Kindly let me know the reference for coverage under Other Sources and thanx.

CA. Roopali Kadam (Jobs on assignment basis.) (1453 Points)
Replied 21 June 2011

is not exempted. It will be income from other sources

Plz refer this thread to get more info /forum/tax-on-stipend-148815.asp

Ankush Bajaj (CA Final Student) (46 Points)
Replied 21 June 2011

Hi Hitesh,

i m attaching hereby a case law regarding taxability or exemption of stipend income.. According to me it is exempt

Attached File : 473847 745596 16 articleship stipend 10 16 exemption case law.pdf downloaded: 399 times

3 Like

vivek (CA Final) (296 Points)
Replied 21 June 2011

@ tushar: now i dont think i need to give reference

vivek (CA Final) (296 Points)
Replied 21 June 2011

@ abhijeet: now i dont think i need to give reference

sumeet agrawal (Employee) (61 Points)
Replied 21 June 2011

It is Chargeable Under Head Income From Other Sources as defn of salary does not cover income from apprentice.

CA. Roopali Kadam (Jobs on assignment basis.) (1453 Points)
Replied 21 June 2011

Originally posted by : Ansh Bajaj
	Hi Hitesh, i m attaching hereby a case law regarding taxability or exemption of stipend income.. According to me it is exempt

ok then can we say for any student getting nominal stipend we can claim exemption u/s 10 (16)

Ankit Madhogarhia (Pursuing Final) (531 Points)
Replied 21 June 2011

Whether Stiphend include conveyance also?

(Guest)

Ya stipend is surely exempted for a article getting from his ca principal,as these stipend is mainly paid to meet his books and coaching fees, and it has also been wriiten in section 10(16).