The government has removed both income tax and TDS on interest awarded in motor accident compensation cases, giving victims and families full relief
Finance Minister
Nirmala Sitharaman announced in the Union Budget that the government will exempt from income tax the interest awarded to individuals by Motor Accident Claims Tribunals (MACT), and authorities will no longer deduct TDS on such payments, a move aimed at easing financial stress for road accident victims and their families who often depend on compensation for medical care, rehabilitation and livelihood support.
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