Dear Friends,
A query regarding Bonus payment to legal heirs of a Deceased Employee.
One of my friends working with an MNC died in harness.The company had to pay him BONUS which was declared after his death(bonus as a percantage of Employe's salary) & was taxable in hands of Employee.The employee annual salary package was about 9 lacs & BONUS was declared about 6% of salary package for financial year 2011-2012. ie about RS 54000.Now the same bonus is being paid to legal heirs of deceased.My question is
1-If Bonus will be taxable in Hands of Legal Heirs too or not?
2-Under what sections of IT Act will bonus be taxable/non taxable in hands of legal heirs?
kindly revert back
warm regards
amit misra
amitspn @ gmail.com
CAclubindia
