mediclaim insurance

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Nagendra Kumar (Querist)
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10 March 2008 One person went for a mediclaim policy with a Insurance Co before going to USA.

He was hospitalized there & the expenses for the treatment was taken care by his brother in US.

After returning back to India my father produced all the bills to the concerned Insurance Co & it is in the final stage of receiving the amount.

Now my question is ...

Is the amount received an Income to my father or should he transfer the same to my brothers account in India?

Checked with my CA, he said it can be treated as Capital in my fathers account.
please claryfy me

pushpendra

pushpendra (Expert)
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11 March 2008 Dear nagendra Kr.

If your father tr. the same to you broters account then it can not be income of you father.

and he doesn't tr. the money then also it will be treated as capital receipt not the revenue receipt.

so it will not be taxable in any case

CA Saurabh Maheshwari

CA Saurabh Maheshwari (Expert)
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11 March 2008 IF RECEIVED BY FATHER AND NOT TRANSFERED THAN CAPITAL RECEIPT IN HANDS OF FATHER WHICH IS NOT TAXABLE

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