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Gift from friend - urgent

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Querist : Anonymous

Querist : Anonymous (Querist)

27 March 2012 i got a gift of rs.1,00,000 in cash from my non relative friend in financial year 2010-11.but i forgot to mention it in my income tax return.
Now, if i return this money to my friend through cheque, will there be any issues with income tax.

Or kindly suggest how to rectify this problem.

thanks and regards

VIVEK SHARMA

VIVEK SHARMA (Expert)
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27 March 2012 You show the amount as loan.Since, you have shared limited details, I am providing answer based on the details.

CA.Vinita Gupta

CA.Vinita Gupta (Expert)
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27 March 2012 Show it as a Loan with or without Interest, Showing it as a Gift will attract provisions of Sec 56(2) wherein it has been stated that Gift above 50000 from non relative would be treated as the Income of the Individual.
So Show it as a Loan and if possible prepare Loan Confirmation docs ready in Hand

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