Daughter in law gift

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Gifts given by a father-in-law to his daughter-in-law are considered gifts from a relative and are therefore not taxable in the daughter-in-law's hands. There is no specific monetary threshold limit for such gifts. However, it's crucial that the gift originates from genuine sources and is transferred via banking channels, with the donor demonstrating the capacity to make the gift to avoid potential income tax scrutiny.

sanjay

sanjay (Querist)

03 July 2021 Sir
I want to know about : is daughter in law comes under section 56(2) of income tax? Can a father in law gift to his daughter in law if yes then how much is the threshold limit.
Pl advise.
Regards

CMA Poornima Madhava

CMA Poornima Madhava (Expert)

03 July 2021 Daughter-in-law is a relative and gift from father-in-law is not taxable in the hands of daughter-in-law.

PARAS CHHAJED

PARAS CHHAJED

(Expert)

05 July 2021 There is no threshold limit for gift from relative listed in section 56(2). However, the Gift should come from genuine sources, through banking channel, donor must have capacity to make gift so that rigours of s.68. 69A etc. are not triggered.

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