if someone received amount of Rs 15lacs as a gift from his father in law, so is it taxable or not
Abhishek Sharma (62 Points)
10 October 2019if someone received amount of Rs 15lacs as a gift from his father in law, so is it taxable or not
Anil Kotak
(student)
(309 Points)
Replied 10 October 2019
No. Its tax exempt u/s. 56(2)(x) of IT act.
Suresh Thiyagarajan
(Student)
(3986 Points)
Replied 10 October 2019
1. As per sec 56(2)(x), any gift received where the monetary value of such gift or cash amount exceeds Rs. 50,000 during the year then the entire amount will be subject to tax under the head Income from other sources.
2. However, the above provision will not be applicable if the gift is received from relatives.
3. In your case, father in law will be considered as relative for the purpose of sec 56(2)(x). Hence Rs. 15 lakhs received from him will not be subject to tax during the year.
Please correct me if the above solution has an alternative view.
GST Live Certification Course (39th Batch) - April 2024 (Weekend Batch) (With Certificate)
"Live class on Python for Financial Analysis: Unlocking Efficiency in Accounting and Finance"
CAclubindia
