Gift to spouse

Yes, you or your mother may gift her this amount which shall not be taxable in her hands.

There is no problem regarding gift made by either you or your mother to your wife, the same is not taxable in her hands as gifts from relatives is exempt. However, you need to keep in mind the clubbing provisions under section 64 regarding both gifts. If your wife earns rental income from new flat then the same will be clubbed in your hands. As per the provisions any gift made by inlaws to thier daughter in law on or after 01.06.73 will attract clubbing provisions if income is earned out of it.