Taxability of articles stipend

 It's taxable unless there is specific exemption u/s 10.  And I thing there are no exemption u/s 10 related to it.... So it is taxable..... Let's see what is the opinion of others.   

Article stipend is not taxable... There is a case law in this regard.. The stand in the case law is that the article is helping his principal in carrying out his work and acquiring knowledge.

Here is the case law....

Thanks saranraj..

Please solve my connected query..

One of my friend is woking in a MNC as a trainee for M.Tech project purposes. Is the stipend derived from such work is taxable? If yes, under what head?

Dear Saranraj......

The Case You Attached is Old One.

We Already Discussed on That Issue.......

it was from jaipur 1983

But Now It gone Taxable.......

Bcoz If U Give Salary as stipend say 20000 PM then How Can It Exempt......

Its Amended in  Finance act 

thnx for reply guys..........but under which head is it taxable......... Other sources or salary......??? There is a Employer employee relation b/w article and firm right???????

Originally posted by : AYUSH AGRAWAL
	Dear Saranraj...... The Case You Attached is Old One. We Already Discussed on That Issue....... it was from jaipur 1983 But Now It gone Taxable....... Bcoz If U Give Salary as stipend say 20000 PM then How Can It Exempt...... Its Amended in  Finance act

 Dear Aayush kindly provide me the proof for your above statement...

Articles stipend  is Exempt from tax.

Hello, i agree and the case is very old.. IF you recevie the stipend like what u get in BIG4 than its a good amount and certainly income will increase the maximum limit.

for the other question i will like to say that it will be taxable under the head Salaries, only.....

And for NITIN- it will be taxable under the head of salary only as it is in the form of salary( stipend)....

In my Opinion, Stipend is not taxable U/s 10(16).

Stipend is not taxable if it is within the basic exemption limit for individuals. however it is taxable if it crosses that limit...............!!!

It is already discussed in club. please check the link......!!!

/forum/re-stipend-taxable-or-exempt-58391.asp

In my Opinion, Stipend is exempted U/s 10 up to Minimum Stipend payable to Article Cleark as per rules framed by ICAI

for Fist Year Rs. 1000/- PM

for Second Year Rs. 1250/- PM

for Last Year Rs. 2500/- PM

if u are receiving stipend Rs. 2,00,000/- PA out of that following amount is exmpted from Tax

Rs. 12000/- for Fist Year

Rs. 15000/- for second year

Rs. 30000/- for Last year

No dear Its Not Taxable..... Exempt u/s 10 (16) - Scholarship granted to meet the cost of education