Within Family Gift --Will it attract Income Tax

Tax queries 296 views 9 replies

If some X amount is gifted from father to son (via a/c transfer or cheque)  then will it attarct income tax?

Is there any process or give declaration to make it as a gift  

Thanks

 

 

 

 

 

 

Replies (9)

Father and Son are covered within the definition of relative as per the provisions of Income Tax Act and any money received from a relative will not attract income tax. You may enter into a gift deed for the purpose of having adequate documentation.

Yes... I agreed to Mr Suryaprakash.,

@ Mr Varad.,

Income-tax not applicable in this transaction from Father to Son...
The amount transferred through banking mode. So, generally no need any gift deed.
But,
As per Mr Suryaprakash view You can prepare a deed and keep it.
Agreed with the earlier replies
one thing may be added that source of money may be verified by the income tax department in the hands of father

gift received from the relatives - not attracted income tax as per Sec 56(2)(x) 

 

Hi Good Morning Suryaprakash ji / Ashok ji , Naveen ji and Team Thank you so much for your valuable help. One thing is clear that this type of transaction will be free from Income Tax. Now will self declaration type deed or in prescribed format done by myself will be enough or Income Tax department needs it authenticated by Advocate on stamp paper , is there any documentary requirement for the same. Thanks again. Stay Home , Stay Safe. Jai Hind
No Dear...
No need authentication by advocate...
If You want any documentary evidence then prepare a Gift Deed Yourself with Father...

Thank you so much RAJA ji. Everything is clarified now.

You are most welcome dear...

Yes... That's our (CCI) pleasure...

As per section 56(2)(x) of Income Tax Act,1961 any gift received from relative shall not be taxable.

Father and Son are covered within the definition of relative as per the provisions of Income Tax Act and any money received from a relative will not attract income tax. You may enter into a gift deed for the purpose of having adequate documentation.

 


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