My Mother worked as a teacher in a state government schooland got retired recently. She is receiving her pension. Recently my Father died and my Mother started receiving the family pension in addition to her own pension. Is Family pension taxable or tax-exempt ?
Menu
Tax on Family Pension
Replies (5)
Quick Summary
Family Pension is taxable after allowing a deduction of 33.33% or Rs. 15000, whichever is less.
Hello Sir,
Thanks for your quick reply. Can you please let me know the Income tax Section that is applicable here ?.
What is Family Pension?
Family pension is defined in Section 57 as a regular monthly amount payable by the employer to a person belonging to the family of an employee in the event of death. Pension and family pension are qualitatively different. The former is paid during the lifetime of the employee while the latter is paid on his death to surviving family members. However, in case of family pension, since there is no employer-employee relationship between the payer and the payee, therefore, it is taxed as ‘Income from Other Sources’ in the hands of the nominee(s). In respect of family pension, deduction u/s 57(iia) of Rs.15000 or 1/3rd of the amount received, whichever is less, is available.
Thank you very much Sir
You are welcome.
Recent Topics :
- Due date for itr 5 no audit with loss for fy 25 26
- Capital Gains Mismatch AIS
- Inward E-way bill from Tally Prime 7.1
- Query regarding exemption under Section 10(10AA) &
- NPO registered under sec 8 itr filing
- Form 144 (Earlier 27Q) – Reason Code (A/C/G/
- Nps taxation
- Representative assessee
- Investment Income as Business Income for Sec. 44AD
- In ITR 4 u/s 44ADA what amount we shoud show under
Related Topics :
CAclubindia
