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Taxability of Gift Money given to maternal uncle (mama)

Raj Thakkar (ARTICLE) (374 Points)

23 April 2024

Whether the money (gift) given to my maternal uncle (i.e. Mother's Brother (Mama) is taxable or non taxable in the hands of recipient?

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6 Replies

Nikhil Kaushik (Fellow CA) (85244 Points)
Replied 23 April 2024

its not exempt.

refer: https://business.outlookindia.com/personal-finance/tax/gift-received-from-nephew-is-not-exempt-from-taxation-under-section-56-2#:~:text=So%2C%20gift%20received%20by%20a,tax%20on%20it%20as%20well.

1 Like

Khush Trivedi (2164 Points)
Replied 23 April 2024

It will be taxable as Maternal uncle is not covered under the definition of RELATIVE as per section 2(41) of income tax act 1961

sabyasachi mukherjee (26130 Points)
Replied 23 April 2024

It's taxable in the hands of recipient

Vishal Manakshe (271 Points)
Replied 24 April 2024

The said transaction will be taxable in the hands of the recipient, as bhanja/bhanji (Son/daughter of sister) are not covered under the purview of relatives u/s 56(2) of the I.T. Act