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Listed Share transfer from Demat A/c. within family reporting in ITR

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Valerian Dsouza

Manager Audit & Taxation

413 Points Posted on 16 December 2021

Respected Sirs,

Listed Shares are transferred from Demat Accounts within family members Accounts; as well contra entries from One Demat A/c. to another Demat A/c. In the Income Tax Annual Information statements (AIS), these are appearing / reported as off market transactions These entries are within family transfers without any consideration. Some are contra entries. Do we have to report or explain these entries in ITR?

Thanks a lot for kind help.

Valerian Dsouza

Replies (2)

Quick Summary

This discussion addresses whether listed share transfers between family members, appearing as off-market transactions in the Income Tax Annual Information Statement (AIS), need to be reported in an Income Tax Return (ITR). The consensus is that since these transfers are within the family without consideration, capital gains are not taxable, and therefore, they do not require specific reporting in the ITR.