agreement on gifts

Tax queries 852 views 5 replies

Is execution of gift deed necessary. on receipt of money as gift (by cheque) from a) relative and b) non relative?  - cant see any such provision but seems its has come through practice. confim?

Replies (5)

Dear Deepesh,

 

1) Gift received from relative is Non - Taxable, but it is advisable to make a gift deed between the Donor and Donee whena a gift is given by donor and accepted by donee.

 

2) Gift received from Non - relative is Taxable. Thus there is no point in making a gift deed in case of non - relatives.

 

 

Thank You,

Regards,

Devendra Kulkarni

does the agreement requires to be registered?

well to have a valid contract as per THE INDIAN CONTRACT ACT,1932,...the gift agreement needs to be registered.....or else the agreement will be void due to lack of consideration..

Originally posted by : Devendra

Dear Deepesh,

 

1) Gift received from relative is Non - Taxable, but it is advisable to make a gift deed between the Donor and Donee whena a gift is given by donor and accepted by donee.

 

2) Gift received from Non - relative is Taxable. Thus there is no point in making a gift deed in case of non - relatives.

 

 

Thank You,

Regards,

Devendra Kulkarni

agree with devendra

if u make a deed..den it shud b registered...

Is it possible to make a deed mentioning recurring gifts? e.g. I want to give 5000/- per month to my wife as gift. Is it possible?


CCI Pro

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register