Gift from relative

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Sanjay Jain

Sanjay Jain (Querist)
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09 November 2012 Whether gift taken from from sister's son is covered under gift from relatives

Anand Modi

Anand Modi (Expert)
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09 November 2012 No it is not covered.
but gift to your Sisters son from you is covered under definition of relative.!!!!

CA Prashant Gupta

CA Prashant Gupta (Expert)
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09 November 2012 as per my view sister's son is not covered under gift from relatives.
so it will be taxable.
sister is considered as relative in sec 56(2)

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V K Bajaj

V K Bajaj (Expert)
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09 November 2012 Sister's son is a relative as per the index of relatives issued by Income Tax Authorities.

Gift is taxable but tax free up to some amount.

CA Prashant Gupta

CA Prashant Gupta (Expert)
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10 November 2012 Mr. Bajaj
sister's son is not relative in sec 56(2). So his gift can't be said gift from relative

V K Bajaj

V K Bajaj (Expert)
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10 November 2012 Mr Prashant!

Thanks.

But I know a case law which settles that sister's son is relative. I will revert as soon as I have detailed CASE LAW.