Section 93 of Income Tax Act 2025 in hindi
- (1)The income chargeable under the head "Income from other sources" shall be computed after making the following deductions:—
for interest on securities, any reasonable sum paid as commission or remuneration to a banker or any other person for the purpose of realising such interest on behalf of the assessee;]
- (b)for income of the nature referred to in section 92(2)(c), so far as may be, an amount as per section 29(1)(e);
- (c)for income of the nature referred to in section 92(2)(f) and (g), so far as may be, an amount as per section 28(1)(a), (b), (d), section 33, and subject to the provisions of section 28(2);
- (d)for income in the nature of family pension (a regular monthly amount payable by the employer to a family member of an employee upon the death of such employee),—
- (i)an amount equal to one-third of such income or Rs. 25000, whichever is less, where income-tax is computed under section 202(1); and
- (ii)an amount equal to one-third of such income or Rs. 15000, whichever is less, in any other case;
- (e)any other expenditure (not being in the nature of capital expenditure) laid out or expended wholly and exclusively for making or earning such income;
- (f)for income of the nature referred to in section 92(2)(i), an amount equal to 50% of such income and no other deduction shall be allowed under this section;
- (g)for income in the nature of commutation of pension received from a fund as specified in Schedule VII (Table: Sl. No. 3), the entire amount;
- (h)for income in the nature of gratuity as referred in section 19(2)(g), received on the death of the employee, the entire amount.
10c[(2) Irrespective of anything contained in sub-section (1), in respect of any dividend income or income from units of a Mutual Fund specified under Schedule VII (Table: Sl. No. 20 or 21) or income from units of a specified company as referred to in section 2(h) of the Unit Trust of India (Transfer of Undertaking and Repeal) Act, 2002 (58 of 2002), no deduction shall be allowed.]
Summary
- You can deduct any other daily running expenses (not being capital expenditure) spent wholly and exclusively to make or earn that income.
- For interest received on compensation or enhanced compensation, you get a flat standard deduction equal to 50% of that interest income, and no other expenses can be deducted against it.
- If you receive a commuted pension (a lump-sum pension payment) from an approved fund, the entire amount is allowed as a deduction.
- If you receive a death gratuity (a payment made to family members upon an employee's death), the entire amount is deducted from your taxable income.
Practical examples
FAQ
1. Can I deduct costs for collecting interest on securities under Section 93 of the Income Tax Act 2025?
Yes, the Income Tax Act 2025 allows you to deduct any reasonable sum paid as a fee to a banker or another person to collect that interest (money earned from government or corporate bonds) for you under Section 93.
2. Are there deductions for hiring out machinery according to Section 93 of the Income Tax Act 2025?
Yes, if you earn income from letting machinery or furniture on hire, Section 93 of the tax act says you can deduct amounts for insurance, taxes, and repairs as described in Section 28, plus depreciation (the loss of value over time) as per Section 33.
3. Can I claim general expenses against income from other sources under Section 93?
Under Section 93 of this income tax law, you can deduct any other spending that is not a capital expenditure (money spent on major assets) as long as it was spent entirely and only to earn that specific income.
4. Is there a deduction for interest earned on compensation under Section 93?
Yes, Section 93 of this legislation allows a deduction equal to 50% of the interest you receive on compensation or enhanced compensation (extra money awarded by a court or authority).
Test yourself
Q1.Which head of income are the deductions under Section 93 applied to?
Q2.What is the rate of standard deduction allowed on interest received on compensation or enhanced compensation?
Q3.Which of the following expenditures can be deducted under the general clause of Section 93?
Q4.What deduction is allowed for commuted pension received from an approved specified fund?
Q5.Under Section 93(1)(h), what amount of gratuity received on the death of an employee is allowed as a deduction?