02 January 2013
Ms Seeta there is no limit to make or accept gifts either from income tax view or wealth tax view. Also socially there is no limit.
Perhaps you intend to know the income tax liability on receipt of gifts.
Please note that gift tax is there to cover up the taxes on gift. The liability to pay tax is of donee.
For correct and accurate reply please re-post this question stating the amount or kind and the relation between donor and donee. Sometime reason of gifts also make the difference: example gifts to bride at the time of marriage has special treatment of gift tax.
Alternatively you can visit Gift Tax Chapter on Income Tax site OR wait for more replies.
02 January 2013
There is no limit for making gift either as per income tax or wealth tax. But however gift shall be taxable in the hands of receiver for income tax and shall be added to payers wealth or receivers wealth as per wealth tax subject to the some conditions prescribed as per the consider acts.
I think you have an idea regarding the taxable of gifts. But you have a doubt regarding the payment of gift amount restruction. So there is no restruction on payment of gift amount.
16 January 2013
Yes there is limit of Gift under Income Tax act. In case you receive a gift exceeding 50,000/- you are liable for payment of tax on the same.
As per the provisions of Section 64 if gift excedding 50,000 is made to wife the income generated out of that git is taxable in hands of the husband.
In case the family member gifts any amount it is not taxable except u/s 64
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