gayathri maruwada 07 April 2020
If a medical student pursuing pg receives a stipend of Rs 50k per month should that be taxed under IFOS? or Is it exempted under 10(16) of income tax act
Mandakulathur Ananthanarayanan 07 April 2020
Stipend is exempt under section 10(16) of the act as scholarship and the view is supported by a Karnataka High court judgement where it is not considered as a salary and exempt as a scholarship
RAMESH SINGH 07 April 2020
Sir then why institution deducted tds on it and then give remaining amount to students.
Mandakulathur Ananthanarayanan 07 April 2020
But you can treat the same as scholarship and claim refund by filing return.
RAJA P M ("Do the Right Thing...!!!") 07 April 2020
The stipend received by medical student is not exempt income. It's taxable income.
gayathri maruwada 07 April 2020
Can u refer me regarding section under which it is taxable? if it is taxable
RAMESH SINGH 07 April 2020
Madam, As stipend is related with pay band ,D.A.,HRA as well as non practice allowance for MD students. It has grade pay and yearly increment also. It is equal to pay of Junior Resident in hospital.
In my opinion it is equivalent to pay that's why they deducted TDS.
Kindly give case number inwhich MD student stipend is exempted by court.
Thanks.
Mandakulathur Ananthanarayanan 07 April 2020
This article might be useful for you
https://medicalreportertoday.com/stipend-during-md-ms-dnb-and-bond-serving-is-tax-free/
Stay updated with latest Discussion!
Member Strength 31,17,344 and growing..
CAclubindia
