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Cash gifts from family members taxability for ay 21-22

s.m ki vines and imp cnt (9 Points)

29 July 2021

cash gifts from family members taxability for ay 21-22 exempt Or not

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4 Replies

Hari Beldona (ACA) (1533 Points)
Replied 29 July 2021

Section 56(2) of the Income Tax provides for taxation of gifts received during the year in case aggregate value of all the gifts, whether in cash or in kind during a year, exceed fifty thousand rupees, entire amount will be taxable in the hands of recipient, if it is below 50,000/- exempt from tax

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CMA Poornima Madhava (CMA) (13097 Points)
Replied 29 July 2021

If such family members fall within the definition of relatives, then exempt without any limit else exemption up to Rs.50k pa

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Nidhi (Chief Accountant) (3150 Points)
Replied 29 July 2021

If such family members fall within the definition of relatives, then exempt without any limit else exemption up to Rs.50k P.a

further to that.. Gift in Cash (269ST) from single person /transaction/event can' t exceed Rs. 2,00,000/- p.a.

2 Like

Hari Beldona (ACA) (1533 Points)
Replied 29 July 2021

As per Contract Act 1872, contract without consideration, quid pro quo means something for something, only one thing love and affection should prevail, even friend can give cash gift upto Rs. 50,000/-