Tax implication on investment in minor name

Respected Seniors,

I would like to request you to guide me about tax implication in following cases .

1) Legal guardian of a minor is giving a gift to minor and the same is invested in PPF A/c with bank.

2) Legal guardian is investing in mutual funds on growth basis in the name of minor which will  transferred to him as gift when he turn adult.

Please also do suggest whether both the above transaction are permissible by the law or not.

Regards and thanking you in advance.

Replies (1)
Gift from Relative is exempt and therefore under both the cases gift income will be exempt in the hands of minor. Furthe interest on PPF that is earned by the minor will also be exempt. Both the above mentioned transaction are allowed.

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
ARTICLESHIP 07 September 2026
CA Articles

Kothari Jain Patil & Chartered Accountants

Pune

CA Inter

View Details
Company
ARTICLESHIP 01 September 2026
Articles

Saini Pati Shah & Co LLP, Chartered Accountants

Mumbai

CA Foundation

View Details
Company
21 August 2026
Finance Manager

Resollect Technologies Pvt Ltd

Mumbai

CA

View Details
Company
ARTICLESHIP 24 August 2026
Chartered Accountant Articles

Rohit KC Jain & Co

New Delhi

CA Inter

View Details
Company
24 August 2026
Semi-Qualified CA/CA Finalist - Tax, GST, Audit & Accounts

Bharat Shah & Associates

Mumbai

CA Inter

View Details
Company
11 August 2026
COMPLIANCE EXECUTIVE

YMW COMPLIANCE SERVICES LLP

Others

CA Final

View Details
Company
ARTICLESHIP 26 August 2026
Article Assistant

ANIVESH CONSULTANTS LLP

Gurgaon

CA Inter

View Details
Company
Featured 19 August 2026
Chartered Accountant

apricus india

Pune

CA

View Details