Under the Income-tax Act, 2025, what percentage of the compensation received by an individual from the…

Under section 11 read with Schedule III (Table: Sl. No. 3) to the Income-tax Act, 2025 (formerly s.10(10BC) of the Income-tax Act, 1961), any amount received or receivable by an individual or his legal heir from the Central Government, a State Government or a local authority by way of compensation on account of any disaster is not included in total income, provided no deduction was allowed earlier under the Act on account of the loss or damage caused by that disaster. 'Disaster' has the meaning given in section 2(d) of the Disaster Management Act, 2005 (Note 1 below the Table). The whole amount is excluded, so the exemption is 100%; the Act does not provide for a partial exclusion of 75%, 50% or 25%.