Shares transferred to son showing in AIS

ITR Filing 1861 views 12 replies

Shares transferred to son are exempt from taxes ,the transfer is mentioned in the AIS so is it required to be mentioned in the ITR of both son and parent? 

Replies (12)

Or instead of mentioning in ITR can i give feedback and choose the option " Transfer not in the nature of sale " for both AIS statements. 

The ais statements are self explanatory.

Not self explanatory, otherwise I would not post this thread. Please don't post off topic messages.

How you transfer such shares.

Demat account,  off market transfer.

Originally posted by : CA Rashmi Gandhi
How you transfer such shares.

Any response, i am guessing "" Transfer not in the nature of sale " is the appropriate feeback for this entry in AIS or "Income not taxable" ?

Can anyone respond. 

Gift of movable property such as shares, ETFs, mutual funds, jewellery, drawings etc without consideration and exceeding Fair Market Value of more than INR 50,000 is taxable in the hands of the recipient under Section 56(2) of the Income Tax Act. Such income should be reported under the head ' Income from Other Sources ' in the Income Tax Return and tax should be paid at slab rates.

Taxes on the gifting of shares are exempt if Individual receiving gift from a relative (including siblings, spouse and lineal ascendants or descendants)

So, here same is exmpted

So should i chose "income not taxable" in AIS ? Or "transfer not in nature of sale ".  There is no income till the shares are sold and capital gain tax will be then paid if applicable, so appropriate feedback in AIS should be enough , not to be mentioned in ITR.

The AIS shows "Off market debit" for parent and "off market credit" for son. I have updated "income not taxable" for Son in the AIS feedback. What should i do for parent's AIS ?

@ CA Rashmi , for parent shouldnt it be " transfer not in nature of sale" in AIS? 

Yes you have to select transfer not in nature of sale


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