12 February 2011
Clause (vii) has been inserted in section 56(2) by the Finance (No. 2) Act, 2009.
Under this clause if an individual or a HUF receives on or after October 1, 2009 a gift, it is chargeable to tax in the hands of the recipients under the head “Income from other sources”.
While calculating the above monetary limit of Rs. 50,000, any sum of money or property received from the following shall not be considered—
•Money/property received from a relative.
•Money/property received on the occasion of the marriage of the individual.
•Money/property received by way of will/inheritance.
•Money/property received in contemplation of death of the payer.
•Money/property received from a local authority.
•Money/property received from any fund, foundation, university, other educational institution, hospital, medical institution, any trust or institution referred to in section 10(23C ).
•Money received from a charitable institute registered under section 12AA
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