Gift

This query is : Resolved

C.A. HIREN (Querist)
Follow

13 January 2012 If any person received gift from his brother staying abroad say Rs.5,00,000/- then its taxable ya exempt.?

If not exemp, then a person staying abroad can send money in his brother's account for dependent parents?????

CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)
Follow

13 January 2012 Gift received from brother is exempt from TAX as Gift Received from relatives are exempt from Tax..

Relatives u/s 56(2)(vii) from whom Gift is permissible under Income Tax Act, 1961

(i) spouse of the individual;

(ii) brother or sister of the individual;

(iii) brother or sister of the spouse of the individual;

(iv) brother or sister of either of the parents of the individual;

(v) any lineal ascendant or descendant of the individual;

(vi) any lineal ascendant or descendant of the spouse of the individual;

(vii) spouse of the person referred to in clauses (ii) to (vi)

Message likes : 1 times

C.A. HIREN

C.A. HIREN (Querist)
Follow

13 January 2012 but sir, limit of Rs. 50000/- is applicable?? ya unlimited amount????

CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)
Follow

13 January 2012 No limit for gifts from relatives. In case of others limit is Rs 50000/-.
Further in case gift is received on occasion of marraige, will be exempt from TAX whether received from relatives or non-relatives.