Gift of Rs 20000/= to my mother

This query is : Resolved

MANOJ KUMAR SINHA (Querist)
Follow

21 December 2009 I want to gift Rs 20,000/= (Rupees Twenty thousand) only to my mother who is a housewife. My father is a retired Central Government Official.
 Shall I or my mother or my father have to pay any tax(es) in this transaction?
 Shall I get the exemption of the aforesaid amount from my Gross Salary in computation of my Income Tax?
 How should I proceed for the aforesaid act?
 Which form shall I have to use in filing for exemption of the amount from my Gross Salary in computation of Income Tax at my office or Income Tax Department, if any?
Kindly let me know the relevant Rules and provisions.

Heera Nahariya

Heera Nahariya (Expert)
Follow

22 December 2009 Refer section 56 of income tax act

In your case, debit 20000/- to your capital account. No income tax treatment.

In case of your mother upto 50000/- gift is exempt from relatives. No income tax treatment .

Murtaza I Bhagat

Murtaza I Bhagat (Expert)
Follow

22 December 2009 No.Incometax apply whenever gift given to any relatives by cash or any kind. in your case all amount is taxfree.upto Rs.50000/- in cash.

Upgrade to CAclubindia Pro. Subscribe Now!