Do I have to pay taxes on money won from Hackathon?

[User_95c194c5]

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User_95c194c5
PARTICIPANT
February 8, 2025 at 8:15 pm

I wanted to know if I will have to pay taxes or will my prize money amount get deducted due to taxes which I have won from Hackathon. I am 17M and won 1.5 lakh in a Hackathon conducted by NPCI (National Payment Corporations of India).

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[Vishwaspanther985]

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Vishwaspanther985
PARTICIPANT
February 8, 2025 at 8:21 pm

1.5 L doesn’t come under any taxable slab. Enjoy the money.

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[Happythinker3303]

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Happythinker3303
PARTICIPANT
February 8, 2025 at 8:29 pm

Prize money is not considered regular income so it is still taxable under the Income Tax Act.

in KBC, the prize amount is also attract TDS, which is deducted before the payment is made. 

NPCI is likely to deduct the TDS before disbursing the prize money to the winner.

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[Braveknight8864]

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Braveknight8864
PARTICIPANT
February 8, 2025 at 8:26 pm

No. For that you need to have earned more than 12 (theoretically 12.75) lakhs in a full ‘financial year’ to have to get to pay tax.

Also, this question would’ve been better suited for a different sub dealing with taxation.

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[User_425f7500]

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User_425f7500
PARTICIPANT
February 9, 2025 at 6:06 am

Not 12 but 7. 12 would apply on the earning from next FY not the current one.

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[Braveknight8864]

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Braveknight8864
PARTICIPANT
February 9, 2025 at 6:20 am

Thanks for clarifying brother. Totally skipped on assuming that OP might not be aware of these nuances..

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[User_1161c2e4]

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User_1161c2e4
PARTICIPANT
February 8, 2025 at 8:30 pm

Firstly congrats

I too won a Gov. competition at 15, but didn’t have to pay any taxes
Rewards from the Government are not taxed
But I believe NPCI isn’t a gov. corp even though established by RBI

It’s not a lottery you won, but a hackathon that involved skills, so I believe the normal slabs should apply
And likely your annual income doesn’t exceed 12L, so there shouldn’t be any tax payable.

I doubt any TDS would be deducted. But it’ll still be your liability.

I’m not a CA or Lawyer and you should consult a good one.

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[User_425f7500]

U

User_425f7500
PARTICIPANT
February 9, 2025 at 6:06 am

12L gets applicable in the next financial year he won the money in the current one. This year’s limit was 7 so that will be applicable

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[Silentpanda7593]

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Silentpanda7593
PARTICIPANT
February 8, 2025 at 8:34 pm

r/IndiaTax is that way

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[Silentpanda7593]

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Silentpanda7593
PARTICIPANT
February 8, 2025 at 8:35 pm

also, u/ytgs_youtube , congratulations.

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[User_f9702a49]

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User_f9702a49
PARTICIPANT
February 8, 2025 at 8:47 pm

if im not wrong it depends.. did you pay an entry ‘fee’ ? if not you’re good, no tax

If you did, then pls consult a CA

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[Vikasknight404]

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Vikasknight404
PARTICIPANT
February 8, 2025 at 8:52 pm

If there would be any requirement of paying tax on it then it would be automatically deducted at source (TDS) before transferring the money to you.

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[Megalion5455]

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Megalion5455
PARTICIPANT
February 8, 2025 at 9:50 pm

Most probably the prize money would be subject to TDS, and you would have to claim a refund.

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[User_f1480e62]

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User_f1480e62
PARTICIPANT
February 9, 2025 at 2:34 am

You are under 18 so no tax

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