OTHER INCOME
Any income that does not fall under the four heads of income, namely salaries, business or profession, house property or capital gains will fall under this head. The following are the main incomes that fall under this head:

Dividends

Dividend income arises out of holding equity shares of a company or units of a mutual fund. Presently, the status of this tax is as follows;

Instrument In hands of receiver In the hands of payer

Equity shares Tax free Tax free

Equity mutual funds Tax free Tax free

Debt mutual funds Tax free Distribution tax of 12.5%

Winnings from lotteries, crossword puzzles, races, card games etc

Income from winning lotteries, crossword puzzles, any kind of gambling or betting, races, card games etc will be taxed at a flat rate of 30%.