Treating cash received from mother

Hello 

I am salaried employee of MNC , I have given Rs 10,000 for family expenses to my mother from last 5 years every month , Paid roughly around 6.00 lakhs .

she wants to repay that as has recovered some bad debts , she gave me 2.60 lacs as cash , can i deposit this in my savings account or can i open new savings ac in my mothers name 

If deposited in my name , will it be taxable - i dont have any files or nor pay any taxes at the moment , we dont have any details of 2.60 lac , you can call black money 

 

Regards 

Replies (5)
If u open account in ur mother name and deposit that money in their account , that is not taxable for u and that amount already belongs to ur mother it means it is already included in her income for tax computation, and if u deposit it in ur account then that amount treated as income from other source and hence taxable as per ur slab rate

if you depoit in your mother name account, then it will niether be taxable in your hand and nor in your mother hand. I think at the time of disbursement of income to your mother you had paid the tax on that amount also by including your own income. 

and you said here that you have paid to mother for expenses, then it means mother has done saving of her received income. so now nothing will be taxable here.

But Assessing officer can ask the explanation of source of this amount deposited. You can explain this accordingly, if you are unable to give the explanation then this totally amount received will be taxable under section 115BBE @ 30%+surcharge+cess applicable.

confuseing...few questions ...say for example

1) i give cash for family expenses Rs 10K every month, now say i have received cash from unknow sources ,, how will this be treated ?

2)Assumeing that i gave cash - withdrew cash , but dont show that expense at all , deposit the cash again in account , will they question me ? if i say used it for personal use & credited cash again to ac 

 

 

 

In my view There is no reciept of any income so no question of incm tax should arise

Dear Abhishek,

you have to must given the explanation about of source of income deposited if assessing officer asked about this. if you unable to give the explanation then it will be taxable as i said earlier. because of only means you are converting the black money into white money by this.

 

Futher if you said you paid money to your mother and some money now you are depositing into account, then no any tax if you clear this assessing officer.

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