Cash gift to employee less then 5000

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

11 October 2015 Dear experts,
Company is planing to give The cash gift to employee, and most of the employee is not cover TDS on their salary, please tell me weather TDS is to be made on this said cash gift less then 5000,

Regard
Mohit bansal

CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)
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12 October 2015 If the aggregate value of gift received by the employee from employer, during the previous year, does not exceeds Rs. 5,000/- then such Gift is not taxable in the hands of employee. If gift received during the previous year exceeds Rs. 5,000, then whole amount of gift received will be chargeable to tax.

Refer Rule 3 of Income tax Rules.

Querist : Anonymous

Querist : Anonymous (Querist)

12 October 2015 Sir, if gift is given this FY 2015-16, then do we need to deduct TDS this year or not

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