Rishi ( ) (35 Points)
28 August 2010Mr. Ravi, aged 58 years, died on account of a bomb blast in a Mumbai local train. His son, Mr.Gopi, received a compensation of Rs.3 lakh from the State Government. Explain the tax treatment of the compensation received by Mr.Gopi from the State Government.
RAKESH
(Almost CA)
(2199 Points)
Replied 29 August 2010
The amount received by legal heirs of the deceased person on account of disaster is exempt from tax .
venkatraman shrinivas
(Tax consultant/Tax Advocate In Practice.)
(313 Points)
Replied 29 August 2010
The compensaion received in he case of Mr.Ravi is exemp,t out right, under section 10(10BC) of the Act.
Manoj BG
(Tax Professional and in Service)
(1795 Points)
Replied 29 August 2010
fully agreed with V. Srinivas
CA SURENDRA KUMAR RAKHECHA
(Practising CA at Surat)
(26258 Points)
Replied 29 August 2010
Agreed with others; it is exempt
danish dabir
(mumbai)
(218 Points)
Replied 29 August 2010
any compensation or amount given by state or central govt on occasion of disaster is fully exempt from tax so the compensstion received from state govt on account of a bomb blast in a Mumbai local train is exemp from tax
Ankit Sharma
(CA Student)
(1195 Points)
Replied 01 September 2010
yes its exempt form income tax....
Sandeep Garg
(ARTICLE ASSISTANT)
(58 Points)
Replied 02 September 2010
it will be exempt as said by V. Srinivasa
CAclubindia
