Hello Friends;
A grandfather is having funds in the firm and is willing to give gift to his grandsons HUF.
Is such gift exempt?
plz guide me..
shikhar
(LEARNER )
(1394 Points)
Replied 09 March 2013
heloo friend...........................
As per section 56 of income tax act....................grand father can give gift to his grand son, NO TAX WILL BE LEVIED.
BUT IN YOUR CASE ...........first gift is recived by the person (grand son) in individual account................. then he can tranfer it to its HUF.............................
NO TAX WILL BE LEVIED.
THANK YOU