Tax on money borrowed from father

You should refer gift provisions of IT Act

do not show it as Borrowed Money/ Loan....MAKE A GIFT DEED AND SHOW THIS AMOUNT AS A GIFT FROM YOUR FATHER...ANY SUM OF MONEY RECEIVED AS A GIFT FROM RELATIVE SHALL BE EXEMPT

If it was not a retired funds as mentioned in original query,

how will be the consequences?

And if the funds are already tax paid income how it will be treat

with out mention as a gift fund.

@ Purnima Ji.

I was suggested to take such amount as gift from his father & then he can pay it for their outstanding loans. 

I guess I was failed to communicate my point. As retirement income are already tax paid so no worry & also you can take it as loan then same has to be piad for outstading loans. At the end it will nothing but book adjustments.

thanx.

Hi All

BORROWAL cannot be treated as GIFT..only the amount gifted through a registered gift deed is gift...since the amount is deposited in home loan account, you can treat it as repayment of int and principal as per HL repayment sch...