Income from pension

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

29 June 2014 a housewife is receiving her late Army officers "Enhanced Family pension"
how will this be taxed?

please note that her husband received "pension with a disability component" when he was alive but after he retired.

what are the different components of this pension that are 1)taxable 2) exempt from tax?
will this be charged under income from salaries/pension or income from other sources?

Nikhil Kaushik

Nikhil Kaushik (Expert)
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29 June 2014 the pension with disability component is totally tax exempt.

However, post-death of the said person, family pension, if the death was during operational duties, is exempt.

Otherwise such pension is taxable subject to deduction available under section 57(iia) of the Income-tax Act, 1961

Rupesh Jain

Rupesh Jain (Expert)
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30 June 2014 pension charge under the income from other sources due to salary received by his wife.
and on family pension deduction 1/3 of rs. 15000 which ever is low is applicable.

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