i.t.assess cash gifts received from family members 1 lacs * 5 members cash mode allowed one finicial year under i.t.ct
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Quick Summary
This discussion clarifies the tax implications of receiving cash gifts from family members in the UK. It highlights that gifts received from individuals defined as 'relatives' under the Income Tax Act are generally exempt from tax. However, if the giver is not considered a 'relative' according to the Act, the cash gift may be taxable. The query specifically mentions a scenario involving multiple gifts totalling £500,000 in a financial year.
The definition of relative is defined under Income tax act if family member is is covered in the definition of relative then the gift income will be exempted otherwise it will be taxable