There are thousands of unfortunate elderly parents who lose their only depdendent young son/daughter due to illness or in accidents making their old age days tearful. Whatever amount they receive by compensation on such unfortunate incidents should be entirely tax free on humanatarian grounds irrespective of the source i.e. by insurance, gratuity, pf, employees' contribution etc.
If the deceased is married and has dependent parents, the compensation amount sould be equally divided among spouse/children and dependent parents. In many cases, wives of the deceased ill-treat their inlaws and are at their mercy.
