Cash received from mother as gift and deposited to bank
This query is : Resolved
29 July 2016
My client received Rs. 2,00,000/- from his mother in A.Y. 2013-14 and deposited the same to bank.
However he has not filed the Income tax return for that year.
Now he has received a letter from income tax regarding non filing of Income tax return for the said Assessment year clearly stating of cash deposit of 2,00,000 or more in an banking company.
There was no execution of Gift deed at that time. What to do now?
will it be taxable in hands of My client. Is gift deed necessary to be executed?
Please help.
However he has not filed the Income tax return for that year.
Now he has received a letter from income tax regarding non filing of Income tax return for the said Assessment year clearly stating of cash deposit of 2,00,000 or more in an banking company.
There was no execution of Gift deed at that time. What to do now?
will it be taxable in hands of My client. Is gift deed necessary to be executed?
Please help.
30 July 2016
Gift received from a relative is not taxable u/s 56 of the Income Tax Act, 1961. Gift deed is desirable to show an evidence recording the transaction. A formal letter from your client's mother stating the details of gift towards love and affection on her son with components such as heading (GIFT) date and place of execution, recitals, amount and details of gift, attestation by at least two witnesses (mandatory for gift), acceptance by the donee (mandatory for gifts) on the same letter / deed. In case of cash payment, revenue stamp of appropriate value has to be affixed.
Message likes :
1 times
02 August 2016
Can he take official letter from his mother now, Is revenue stamp sufficient and stamp paper not necessary?
02 August 2016
Non-judicial stamp is necessary for conveyancing property, commercial agreements, making Power of Attorney, etc., Since it is a cash transaction revenue stamp is sufficient. Non-judicial stamp paper is not necessary. Show the acceptance of donee on the same letter (you may title it as Gift deed, Gift, etc.) on revenue stamp.
02 August 2016
Thank you so much sir. .:)
02 August 2016
If you find my reply useful, please score me through 'like user' option.
Message likes :
1 times
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Is this income indian or foreign income?
- ITC temporary reversal and reclaim
- GST on export of services and Input Credit
- RCM applicability on Rent Paid by Registered Person to Unregistered Landlord for Residental Building
- Inventory of finished goods
- Applicable TDS rate for sale of property in Nov 2024
- Tds on building rent monthly
- GST ON EXPORT COMMISSION
- Should I report my US salary for January, February, March in Schedule FA?
- RCM INVOICING FROM NOV-2024
- Sale of property furniture sale
- Confusion around Form 26QB fields
- Adjustment entry in the case of Individual and HUF on 31st March
- Stock difference tax applicable on composite rate or normal rate
- LAST YEAR 2022-23 ITC IN NEXT YEAR 2023-24 REPORITNG IN GSTR-9
- MIS MATCH OF INVOICE NUMBER
- IGST Credit-Show cause notice issued-confusion
- Issue of gst e invoice
- How to adjusted advances given or receipt
- Foreign vendor without PAN unable to to register due to non receipt of OTP on foreign number ?
Trending Online Classes
CAclubindia
