reducing tax liability

Hi, Would you please let me know if there is any way one can reduce the tax liability if one receives a lumpsum as compensation i.e. w/o any breakup for allowances etc. I may add that this cannot be viewed as a compensation recd by a consultant.

asked Jul 08 '11 at 12:45 by first timer 1111

This income will be added to your taxable income. You may save tax on it by various sections like 80-C, 80-D, 80-CCF etc (but money has to be invested/spent on these).

If its not received as a salaried employee, it may be added to income from profession/business. In that case all expenses incurred for this work can be deducted from income.

answered Jul 09 '11 at 12:05 by pankaj 5.2k320


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Asked: Jul 08 '11 at 12:45

Seen: 1,259 times

Last updated: Jul 09 '11 at 12:05