20 January 2010
Sir , I want to know whether Leave encashment received by legal heirs of deceased employee is chargeable to tax in the hands of recipient and if it is taxable under which head??
20 January 2010
Salary paid to the legal heirs of a deceased employee in respect of privilege leave standing to the credit of such employee at the time of his/her death is not taxable as salary Circular Letter No F. 35/1/65-IT(B) dated 5 Novemeber, 1965. I couldn't find any other head claming this income So by my point of view it is not taxable in hands of legal heirs
CAclubindia
