subsidies received by Individuals not in the definition of income


subsidies received by Individuals not in the definition of income

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LPG subsidy and other welfare subsidies received by Individuals not to be affected by inclusion of subsidies in the definition of income

LPG subsidy and other welfare subsidies received by Individuals not to be affected by inclusion of subsidies in the definition of income– press release, dated 05-05-2015 The Central Government has vide Notification no. 32/2015 and in exercise of the powers conferred under Section 145(2), notified income computation and disclosure standards (ICDSs) to be followed by all assessees, following the mercantile system of accounting, for the purposes of computation of income chargeable to income-tax under the head “Profit and gains of business or profession” or “ Income from other sources”. This notification shall come into force with effect from 1st April, 2015, and shall accordingly apply to the A.Y. 2016-17 and subsequent assessment years. The CBDT has, through this Press release, clarified that these ICDSs are not applicable to individuals i. not having any income chargeable under the head “Profits and gains of business or profession” ii. and receiving LPG subsidy or any other subsidy which is for the welfare of the individual.

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