Gifts under income tax act sec.56

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

23 December 2009 I wish to gift property to niece and grand niece (Brothers, daughter and grand daughter) with niece as first holder and grand niece as joint holder will my grand niece have to pay income tax ?

Manikanta Raju CA,CWA,(CS)

Manikanta Raju CA,CWA,(CS) (Expert)
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23 December 2009 Realative for the purpose of this section is (i) spouse of the individual;
(ii) brother or sister of the individual;
(iii) brother or sister of the spouse of the individual;
(iv) brother or sister of either of the parents of the individual;
(v) any lineal ascendant or descendant of the individual;
(vi) any lineal ascendant or descendant of the spouse of the individual
(vii) spouse of the person referred to in clauses (ii) to (vi);]
Hence it is taxable in the hands of receiver in your case.