02 August 2014
respected sir's, my daughter got australian citizen ship,now she want to give me 50,000 dollers as a loan to be returned in 24 months. i want to invest the same in stock market in equities. kindly guide me for refund procedure on due date. tax liability at my end on earnings. OR can i take it as gift. can i RETURN it as gift at the end of 24 months. kindly sugest me for better tax planing. with regards.
03 August 2014
1. DUGHTER IS IN THE DEFINITION OF CLOSE RELATIVES OF FATHER , THEREFORE NO TAX ON HER FOREIGN MONEY RECIVED BY HIS FATHER PROVIDED SHE IS NRI .
2. U CAN TAKE ALL US$ 50,000 DIRECT OR AS A LOAN WITHOUT ANY TAX LIABILIRTY.
3. FATHER AFTER INVESTING IN STOCK MARKET NEED TO PAY TAX ON EARNINGS FROM THIS US$ 5000.
4. U CAN ALSO TAKE IT AS GIFT AS NO TAX ON GIFT BY CLOSE REATIVES IN INDIA AND IT IS FOREIGN EXCHANGE --ABSOLUTELY NO TAX.
5.TAX-PLANNING - Father can TAKE ALL US$ IN A/C - NO TAX. Then Pay tax in India for stock market transactions by filing ITR-2.
CAclubindia
