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Can FIL take money from DIL 40 Lac thru bank. DIL money source business. FIL gave Capital and help

CHANDER KANT AZAD (PROPRIETOR) (48 Points)

24 December 2021

Can father in law take money Rs 40 Lac from daughter in law (through banking channel) without any tax liability. Source of money is her business income after marriage. Fatther in law supported her with Full Capital and physical help in business.

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2 Replies

Dhirajlal Rambhia (SEO Sai Gr. Hosp.) (178226 Points)
Replied 24 December 2021

Yes, FIL can take any amount from DIL through banking channel, as GIFT, without any tax liability; as She come under the definition of 'Relative' by virtue of explanation given under sec. 56(2)(x)(a), read sub sec. (v)(e)(E) w.r.t (G).