ES आयकर अधिनियम के अन्तर्गत अन्य साधनों की आय में कौन-कौन सी आय सम्मिलित हैं? इसके संबंध में स्वीकृत कटौतियों को समझाइए।

Income from Other Sources under the Income Tax Act

1. Meaning of Income from Other Sources

"Income from Other Sources" is a residual category under Section 56 of the Income Tax Act, 1961, which includes all taxable incomes that do not fall under any other heads of income (Salary, House Property, Business/Profession, or Capital Gains).

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2. Types of Incomes Included Under "Income from Other Sources"

A. Interest and Dividends

1. Interest on Bank Deposits and Fixed Deposits
2. Interest on Loans Given to Others
3. Interest on Government Securities & Bonds
4. Dividends from Domestic Companies (above ₹10 lakh, taxable under Section 115BBDA)
5. Income from Units of Mutual Funds (if not exempt under Section 10(35))

B. Gifts and Cash Receipts (Section 56(2)(x))

1. Money received without consideration exceeding ₹50,000 in a financial year (except from relatives, marriage, or inheritance).
2. Movable/immovable property received without consideration or at a lower price than market value (subject to taxation under specific rules).

C. Rental and Miscellaneous Income

1. Income from Sub-letting of Property (if not taxed under "Income from House Property").
2. Royalty Income from Copyrights, Patents, or Trademarks (unless taxed under "Profits & Gains of Business/Profession").
3. Income from Hiring of Machinery, Plant, or Furniture (if not used in business/profession).
4. Agricultural Income from outside India (since domestic agricultural income is exempt).

D. Other Miscellaneous Incomes

1. Winnings from Lotteries, Crossword Puzzles, Gambling, Betting, Horse Racing, etc. (Taxed @30% under Section 115BB).
2. Insurance Commission received by an agent (if not part of salary or business income).
3. Income from Family Pension (received by legal heirs of a deceased employee).
4. Any sum received from Employees’ Welfare Fund (if not exempt under specific provisions).

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3. Deductions Allowed Under Income from Other Sources (Section 57)

Certain deductions are allowed while computing taxable income under this head. These include:

A. Standard Deductions for Specific Incomes

1. Family Pension → Deduction of 33.33% of pension or ₹15,000, whichever is lower.
2. Commission on Lottery Sales → Allowed as a deduction against lottery income.

B. Deduction of Expenses Incurred to Earn Income

1. Interest on Loans taken for Investments → Allowed for interest on borrowed capital used to earn interest or dividend income.
2. Depreciation on Machinery, Plant, or Furniture → If rented out and income is taxable under "Income from Other Sources".
3. Repairs & Insurance of Rented Assets → If assets like machinery or furniture are let out.
4. Collection Charges → Any expense incurred for collecting interest or dividend income.

C. No Deductions Allowed for Certain Incomes

• Winnings from Lottery, Gambling, and Betting → No deductions for expenses incurred.
• Casual Income (e.g., prize money, windfall gains) → Fully taxable at a flat rate of 30% (Section 115BB) without deductions.

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4. Conclusion

"Income from Other Sources" serves as a catch-all category for taxable incomes that do not fit into other heads. While specific deductions are allowed for certain types of incomes, winnings from lotteries, gifts, and other windfalls remain fully taxable without deductions. Proper classification and claiming of deductions can help in tax planning.