10 June 2023
Scenario: 1) Father or mother gifts by cash over Rs.50000/- to daughter; 2) Daughter gifts by cash over Rs.50000/- to father or mother. 3) Father gifts by cash (less than Rs.50000/- to daughter and 4) Daughter gifts cash (less than Rs.50000/- to father. Queries: a) will the gift be treated as the income of the recipient and taxed or b) will the donar taxed? or c) income arising out of the gift will only be taxed in the hands of the donee. d) Is there a limit to the amount of gift? e) whether documents (gift deed)to be prepared ? f) Even if the gifted amount is less thanRs.50000/ should gift deed be prepared? Please educate with detailed answer for all the queries. I shall thank you in advance. vsraj
10 June 2023
a) and b) No. c) yes. d) yes, upto 1,99,999 in cash e) Not required confirmation letter enough when asked by IT department f) No. Gift deed required only on case of immovable property.
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