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gifts ......any amount.

qarni (student) (1220 Points)

30 October 2007

what is the new provision of gift.what is the limit of 50000

please any one throw a light on it.

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Late CA Sampat Jain (Chartered Accountant) (4772 Points)
Replied 30 October 2007

The limit is on total amount of gifts received from non related persons(all taken together) .....related as defined in the section. Ealier there was limit of 25000 , and it was interpretted that it is for each donor

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qarni (student) (1220 Points)
Replied 30 October 2007

please tell me clearly

qarni (student) (1220 Points)
Replied 30 October 2007

25000 for each person and aggregate 50000. if gifts in agregate exceeds 50000 say 52000 then entire 52000 is taxable or 52000-50000=2000.Only 2000 is taxable ? is it right.

(Guest)

Exemption is for each person ,Ex-A gives you 45000 in a previous yr and B gives you 55000 .then 55000 is taxable.So plz dont include all for calculating limit of Gift

CA Guru M (B.com, CA, CS) (1552 Points)
Replied 31 October 2007

1).Gift received from otrher than relative is taxable u/s 56(2) VI, if the aggregate of such amount exceds Rs.50000. 2) If the gift amount exceds Rs.50000 then entire amount is taxable under income from other sourecs. For Example: (a) If the gift amount is Rs.50000 then there is no quesetion of tax. (b) If the gift amount is Rs.52000 than entire amount is liable to tax under income from other sources. Relative meanes defined u/s 56 (2) vi . I hope your doubt is now cleared, I am right?

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saran kumar (student) (145 Points)
Replied 31 October 2007

thanx guru thanx for ur qualification

(Guest)

Gifts from relatives is exempt from tax. But any gift received from other than relative will taxable as other sources u/s 56. The basic amount on which no tax is Rs. 25000.00 per head per annuam.