Regarding nre fixed deposit

This query is : Resolved

NAIR MITHUN MOHAN (Querist)
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18 December 2012 Dear Sir,
One of my friends is nre .he has deposited around 90 lacs as fixed deposit. he has a child whose age is around 20 &a wife .can he transfer the amount to the respective persons account so that he can pay less of tax. if it is notpossible so please suggest me some way for the same.
Thank You.

Amol S Joglekar

Amol S Joglekar (Expert)
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18 December 2012 He can very well trnasfer, BUT that will not save his tax as the CLUBBING provisions come into play.

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@VaibhavJ

@VaibhavJ (Expert)
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18 December 2012 Agreed with Amol. There is no restrictions on re-partion of fund from NRE a/c to another a/c.

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NAIR MITHUN MOHAN

NAIR MITHUN MOHAN (Querist)
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19 December 2012 Thanks For your reply sir,i know the clubbing provision will attract but if he make a gift deed &transfer the amount than is it possible to do so.