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Remittance to india for adult son

Tax queries 227 views 3 replies

Dear Wise Men,

I (NRI), am sending some amount to my son in India, every month ,who is an an adult working professional.

a) How will this income be treated in the hands of my son when he files his return this month? 

b) Further, sometimes, I also transfer my taxable pension in India, to him from pension account in India.

Regards,

Manj Kumar Jain

 

Replies (3)

a) If the amount is transferred from your foreign bank account............. it is non-taxable in the hands of your son.  It can be declared as tax-free gift to him.

b) The treatment is same as above, provided any tax liability over the pension amount is already paid by you.

Dear Sir,

Thank you very much for your prompt reply. So, unbder what sec does he claim exxemption:-

a) For from my foreign acct

b) Taxable pension acct (yes I am paying tax)

Thank You

Regards,

 

Section 56(2)(VII) of the Income Tax Act,1961 reads as::   Any amount, even if exceeding Rs. 50,000/-, when received from “Relative”, then it is not chargeable to tax.

And Parents are Relatives to Son.......  so, in either option as above........ any amount of Gift when transferred from your account to account of your major son will be tax-exempt.


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