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ashishvidyarthi (engineer)     13 September 2013

Is monthly payment of permanent alimony deductible from taxa

Dear experts  is monthly payment of permanent alimony  under sec 25 hma deductible from taxable gross of husband?

Regards ASHISH



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 8 Replies

Advocate Kappil Cchandna (Expert Bail & Criminal Defence Lawyer at Delhi Supreme Court of India)     14 September 2013

Dear ,

There is no tax deduction in case of personnal expenses.

Regards

Kapil Chandna

9911218741

1 Like

Vallabh Parmar (Advocate)     14 September 2013

if alimony is paid as per court's order   out of your salary income then there is diversion of income from source it self  ,then that portion  is not taxable in your hand ..

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ashishvidyarthi (engineer)     14 September 2013

Originally posted by : Vallabh Parmar

if alimony is paid as per court's order   out of your salary income then there is diversion of income from source it self  ,then that portion  is not taxable in your hand ..

 Vallabh sir do you mean to say that if alimony is deducted from my salary by employer and deposited in wife's account by court order than it is not taxable in my hand and if I  receive full salary and pay on my own to wife as per court order on sec25 hma then its taxable

in my hand? kindly clarify.

Regards ASHISH

Rama chary Rachakonda (Secunderabad/Telangana state Highcourt practice watsapp no.9989324294 )     18 September 2013

monthly alimony received by a divorcee from an estranged spouse will remain taxable, while a one-time alimony payment will be a capital receipt and won't be taxable.

Ms.Nirmala P.Rao (CEO)     18 September 2013

Dear Client,

 

              As per the Bombay High Court decision in Princess Maheshwari Devi vs. Commissioner  of Income Tax:  Any lumpsum  amount of alimony received by an estranged wife is in the nature of a cap[ital receipt and hence not taxable. Whereas periodical monthly payments of alimony received by her  are treated as revenue receipts and form part of her income  and hence taxable as per IT Act 1961.

 

Ms.Nirmala P.Rao

Legal Expert

1 Like

ashishvidyarthi (engineer)     28 September 2013

Thanks to all the experts.

My question was whether monthly alimony paid by husband is deductible from taxable gross of husband?

I am clear that it will be taxed in the hands of wife recieving monthly alimony but what about husband's tax liability?

regards

Ashish

Ms.Nirmala P.Rao (CEO)     28 September 2013

Dear Client,

 

                Yest! husband can claim  deduction for this alimony amount payed to his estranged wife under Income
Tax Act 1961  in his tax return whether TDS or otherwise.I mean -it is an allowed deductio0n

 

Ms.Nirmala P.Rao

Legal Expert

2 Like

ashishvidyarthi (engineer)     28 September 2013

Thanks Nirmala mam finally I got the answer I was looking for

Regards Ashish

 


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