Some forms of income in India are tax-exempt, subject to the conditions specified in Indian law, as follows:
A standard exemption of INR 100,000 on the income of an Indian resident.
Income from a tax - exempt dividend held by the recipient but the company is liable for a dividend distribution tax.
Compensation from an insurance company.
Severance pay in accordance with the provisions of Indian law.
A pension from work.
That part of income from a salary that is for rent, vacation, recreation, education of children and more, subject to the specified ceilings.
A capital gain from transfer of a residential property that has been held for a long term when the proceeds are invested in the purchase of another residential property.
Capital gain from the sale of listed shares held for a long term.
