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Hardik

Hardik Parikh  |106 Answers  |Ask -

Tax, Mutual Fund Expert - Answered on Jul 18, 2023

Hardik Parikh is a chartered accountant with over 15 years of experience in taxation, accounting and finance.
He also holds an MBA degree from IIM-Indore.
Hardik, who began his career as an equity research analyst, founded his own advisory firm, Hardik Parikh Associates LLP, which provides a variety of financial services to clients.
He is committed to sharing his knowledge and helping others learn more about finance. He also speaks about valuation at different forums, such as study groups of the Western India Regional Council of Chartered Accountants.... more
Mahadeo Question by Mahadeo on Jul 07, 2023Hindi
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Dear Mr. Hardik, I am retired and receiving superannuation from the annuity bought by my company. Is this amount quality as pension and if yes I am entitled for standard deduction? Mahadeo

Ans: Dear Mahadeo,

Thank you for reaching out with your question. Yes, the superannuation received from the annuity purchased by your company is considered as pension income in India.

As for the standard deduction, as per the Income Tax Act, a standard deduction of Rs. 50,000 is allowed on pension income. This means that you can reduce your taxable income by Rs. 50,000, which in turn reduces your tax liability.

However, I would recommend consulting with a tax advisor or a chartered accountant to understand the specifics of your situation and ensure you're taking full advantage of any deductions or exemptions you're eligible for.

I hope this helps!
Best,
Hardik
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