Superannuation taxability

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SUPERANNUATION PAYOUT RECEIVED 35% OF THE CORPUS is taxable
Replies (2)

That's correct. According to Indian tax laws, when a superannuation fund payout is received, 35%of the corpus (amount received) is taxable as income. This is considered as "Income from other sources" and is subject to tax at the receipient's slab rate. 

Here's a breakdown:

65% of the corpus is tax-free

35% of the corpus is taxable

It's important to note that this taxability rule applies to superannuation funds that are not exempt from tax, like the Employees' Provident Fund (EPF). 

Please confirm  is it other income or Pension income.

 

Best Regards

Ashish

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