Hi,
I wanted to know that if a parent gift cash (say 10-20 lacs) to his working child (30 years of age).
1. Would this transaction be taxable anywhere? like in the hands of parent or for the child.
2. Does this transaction need to be shown while filing year end income tax returns either by parent or child or both?
3. Is there any paper work required to perform this transaction or just giving a cheque is fine?
Thanks
NK
You should give this amount by cheque and write on a plain paper about this transactions and take sign of your sign on it. that’s enough
ya dear NK, the amount should not be taxable.
as evidence, you can sign an affidavit & keep it with u.......
A gift deed can be executed so as to avoid any hassles when the case is open up for scrutiny and since the amount is recieved from a parent it si not taxable anywhere and the department is required to be informed thru the return of income...(i forgot the schedules name where it has to be written, but im sure that department needs to be informed)
| Originally posted by : Karan Teli | ||
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A gift deed can be executed so as to avoid any hassles when the case is open up for scrutiny and since the amount is recieved from a parent it si not taxable anywhere and the department is required to be informed thru the return of income...(i forgot the schedules name where it has to be written, but im sure that department needs to be informed) |
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it is to be written under the head "Income from other sources" but excempt u/s 56
CAclubindia
