27 October 2010
ON DEATH OF OFFICE STAFF HIS FRIENDS, CO WORKERS, OLD EMPLOYEES OF SAME COMPANY ARE SENDING AMOUNT THROUGH CHEQUES / DEMAND DRAFT / PAY ORDER / RTGS (WHICH MAY AMOUNT TO 10 LACS) TO HIS WIDOW HAVING TWO CHILDREN.
FOR THE NOBLE CAUSE PL ADVISE / GUIDE FOR THE TAXABILITY OF THE ABOVE IN HANDS OF WIDOW.
IF ITS TAXABLE THAN WHAT WOULD BE BEST MODE TO RECEIVE THE ABOVE TO MINIMISE THE TAXABILITY
27 October 2010
the same will be taxed in the hand of lady as gift and will be chargeable to tax. 1)I think donor shud donate to NGO with specfic direction to use the money for the welfare of widow family. 2)instead of giving money directly, donor should take care of their livilyhood, which shud not cross exemption limit.
CAclubindia
