Gift From NRI source verification

Yes, the income tax department can verify the source of a gift received from a non-resident Indian (NRI).

 If the amount of gift exceeds Rs 50 000 entire amount is taxable under the head “Income from other sources”.

The exceptions to it is, gifts received from relatives Sec 56 (2) is exempted.

As per Section 68 ,,“any sum of fund is credited in the books of assesse maintained for any previous year and the assesse offers no explanation about the nature and source thereof or the explanation offered by him is not in opinion of the Assessing officer satisfactory the sum so credited may be charged to income tax as the income of the assesse of that previous year

• assessee is required to prove the below mentioned details from whom gift is received
  • Identity of the person
  • Creditworthiness of the person
  • Genuineness of the transaction

do we require any documentation for receiving gifts to blood relatives.

if yes, what are they?