My mother have received a family penssion of Rs 7,59,690 anually. While filling the ITR do i need to have the exempt of Rs 1,80,000 or 1/3 0f 7,59,690.

As per below i am not able to decide the same, not sure what to do

Family pension is defined in Section 57 as a regular monthly amount payable by the employer to a person belonging to the family of an employee in the event of death. Pension and family pension are qualitatively different. The former is paid during the lifetime of the employee while the latter is paid on his death to surviving family members. However, in case of family pension, since there is no employer-employee relationship between the payer and the payee, therefore, it is taxed as ‘Income from Other Sources’ in the hands of the nominee(s). In respect of family pension, deduction u/s 57(iia) of Rs.15000 or 1/3rd of the amount received, whichever is less, is available.


Please suggest.




Posted 2 years, 2 months ago by saurabh kanchan

Dear Saurabh,


In case of family pension, 1/3rd deduction or Rs. 15,000 u/s 57 is for the purposes of calculating income.

While calculating your tax liability, the basic exemption limit of Rs. 2,50,000/- or Rs. 3,00,000/- if a senior citizen is available in any case. Pl note that basic limit of Rs. 1,80,000/- has ben revised as mentioned before.


CA Dhruv Gaglani.

+91 96197 96967



Posted 2 years ago by Dhruv Gaglani

Hello Dhruv,

Is the Rs 15000 or 1/3rd deduction applicable on monthly or on total sum of yearly pension amount?

e.g if Rs 10000 is monthly family pension, and 120000 is yearly sum. Is the taxable amount 105000 or 80000?



Posted 2 years ago by sudin prabhu

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