Tax on prize money won by minor

Tax queries 446 views 4 replies

My Daughter won cash  prize money of 50000  in Olympiad exam . Is the TDS deducted @ 30% be refunded

What is the process for the same

Thanks.. 

Replies (4)
yes you can claim TDS in your Return. Following are the provision related to Clubbing of Income
Clubbing of Income of a Major Child (18 or more than 18 years old)

You may be giving over some money to your major child (who may not be earning), in this case if the major child invests that money - any income from these investments will not be taxable in your hands but will be taxed in the hands of the major child. So therefore, there will be no clubbing of income in case of a major child.

Clubbing of Income of a Son's Wife

You transfer an asset to your son's wife directly or indirectly without receiving adequate consideration – income from this asset will be clubbed with your income. Or you transfer an asset to a person or AOP, for the immediate or deferred benefit of your son's wife, without adequate consideration, directly or indirectly - income from this asset will be clubbed with your income
I think no....the amount has not exceeded rs 50k

Thanks for the prompt reply.

My daughter is a minor, 

  • The prize money cheque and TDS certificate should be in her name ?
  • Will she file ITR and claim for refund ? 


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