Gift

This query is : Resolved

rohit (Querist)
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03 January 2013 1}SON HAS GIVEN PLOT OF LAND TO FATHER AS A GIFT
2} FATHER HAS GIVEN PLOT OF LAND TO SON AS A GIFT
3} MOTHER IN LAW TO DAUGHTER IN LAW AS A GIFT

PLEASE EXPLAIN TAXABLITY?

Anand

Anand (Expert)
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03 January 2013 Cases 1 & 2 are not taxable as gifts since it is from an individual to a relative.
Case 3 is taxable in the hands of the daughter in law since the daughter in law is not a relative of the mother in law as defined for the provisions of Section 56, which deals with gift.
Where such gift is made without consideration, tax will be payable on the stamp duty value of the immoveable property.
THis is assuming the stamp duty value of property exceeds Rs. 50,000/-