Query on income from winning a competition in abroad

POSTED BY Sundeep Gupta ON July 18, 2013 4:08 pm ONE COMMENT

I participated in an online software development competition conducted by a US based company. I won the prize and got the money without they deducting any tax, as I submitted the form W-BEN.

Now when I am filing my income tax returns, I am confused as where do I need to put this ? Will it come under ‘winnings from lotteries, crossword puzzles, races games, gambling, betting etc’ section of Sheet ‘CG-OS’ of ITR-2 ?

I see there is ‘Income from other sources’ section in ITR-1, but then they ask to fill in TDS-2, and since there is no tax deducted at source I don’t know what to do.

Please help me identifying the correct place to fill this detail.

One reply on this article “Query on income from winning a competition in abroad”

  1. BanyanFA says:

    Sundeep,
    It would need to go in Income From Other sources as winnings. Unfortunately, this would attract flat 30% tax and you would have to pay it in full as no TDS is deducted.

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