Gifts recd in marriage

This query is : Resolved

Guest

Guest (Querist)

06 December 2016 a client recd aound 20lakhs cash in marriage vch happened 2yrs bck. didnt declare it it return. wants to show in accounts now. wt steps to b followed

CA SUNIL K GARG

CA SUNIL K GARG (Expert)
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06 December 2016 cash received as gifts can be deposited into the bank account as close to the wedding date as possible. gifts received by the bride and the groom, on the occasion of their wedding, are exempt from tax. High value gifts, especially a car or a house, should be supported by a gift deed, dated close to the date of the wedding.Maintain a record of gifts received at the wedding as part of the normal documentation of assets you hold, especially precious jewellery. However amount of gift should be reflected as exempt income.

Guest

Guest (Querist)

06 December 2016 now tht its 2yrs , hw to proceed

Sandeep Dharar

Sandeep Dharar (Expert)
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06 December 2016 Marriage Gifts are exempted from tax(in hands of bride & groom), irrespective of the amount. So if u had not shown in ur return, then there is no issue for that. If u still wanna show that, then u can show it in exempted income in the IT return. But I'll suggest not to show it coz questions may arise from Dept. regarding such a huge amount. If due to demonetization u wanna deposit it into bank, then better to make a gift deed(back dated) to explain urself regarding such huge amount.