Legal Question in Family Law in India

Hi Sir/Madam

My sister has stayed in US for 5 years and also worked there for some 2 years. She returned to India in 2009 and started staying here due to problems with her husband.

During her stay in US her salary was used to sent to account, which was as joint account with her husband and her husband was a primary account holder.

Followed by the failure of all kinds of interventions, after returning to India, she had to file a 498 case against her husband. As soon as the same, He blocked that account rather closed that account and withdrawn all amounts including her earnings.

Recently she got mutual divorce and during this period she could maintain her self with the balance of means which she send to us (brothers) during her stay for buying home. Which was sent when the relation between them was cordial and of course with mutual consent.

During divorce she got all the money which she earned in US as one time settlement. She has all the required documents in support of the earned money there in US. Now my questions are:

1. Is the money which she received in terms of one time settlement is taxable, which is the sum she earned in US and paid tax accordingly?

2. Is it necessary for her to show that money in IT returns?

3. If yes under which head this should be shown?

Thanking you in advance

Ram Raghu


Asked on 12/20/11, 6:29 am

3 Answers from Attorneys
Sanjay Kalra Sanjay Kalra & Associates

I think i have answered your question in detail but any how the answers to your queries here in below:-

1) No and moreover there is DTAA sighed between USA and India and you are suppose to pay tax(es) in one country .

2) Yes but she will get exemption in paying tax.

3) Alimony and income earned in USA after paying tax to USA govt.

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Answered on 12/20/11, 6:55 am
RAJIV GUPTA (Cell: +91 9811284735) [email protected]

you have not mentioned the amount of money received by her in alimony. in case the tax authorities summon her, the certified copy decree and judgment of divorce by mutual consent would certainly help.

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Answered on 12/21/11, 12:47 am
Aniruddha Pawse Aniruddha.P.Pawse Advocates

consult a Tax Consultant / Lawyer

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Answered on 12/22/11, 2:36 am


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