Skip to content

CS Executive · Tax Laws and Practice · Income from Other Sources

Mrs. Leela Nair, an individual, receives during the tax year: Rs. 1,00,000 in cash from her husband's brother, Rs. 75,000 from a friend on the occasion of her own marriage, and Rs. 60,000 from an unrelated neighbour without consideration on her birthday. Under section 92(2)(m) of the Income-tax Act, 2025, what amount is taxable?

Rs. 60,000 is taxable. The gift from the husband's brother is from a relative, and the gift on the individual's own marriage is excluded. The birthday gift from an unrelated neighbour exceeds Rs. 50,000, so the entire Rs. 60,000 is taxed as income from other sources.

  1. ARs. 2,35,000
  2. BRs. 1,60,000
  3. CRs. 60,000Correct
  4. DNil

Explanation

Sums received from a relative are outside section 92(2)(m); a spouse's brother is a relative under section 92(5)(g). The Rs. 75,000 received on the occasion of marriage of the individual is also excluded. Only Rs. 60,000 from the unrelated neighbour remains; it exceeds Rs. 50,000, so the whole Rs. 60,000 is taxable. A birthday is not an exempt occasion.

Did you get it right without looking?

One question tells you little. A timed set on Income from Other Sources shows your real accuracy, how long you take and where you lose marks.

Practise Income from Other SourcesFree diagnostic mock

More Income from Other Sources questions