Lokesh (Teacher) (192 Points)
06 December 2013Hello Users,
Recently I heard about the Tax Saving Point in a conference of CA's in Jaipur that The Gift Received from Our Uncle, Grand Father etc. is Tax Free but not applicable vice-versa. and the limit for those gift value is up to Rs.50,000/- which will tax free.
CA Suyash Gupta
(Chartered Accountant)
(97 Points)
Replied 06 December 2013
Hello,
Thats true that gift received up to the FMV of Rs. 50000.00 is tax free in hands of recipient u/s 56(2)(vii) of income tax act and also the same is not treated as transfer u/s 2(47) of IT Act in hands of person making such gift.
In the given case the gifts received from relatives are surely exempt without any limit for purpose of IT Act viz. from Mausi of urs to u but in the either case when u gift a value to ur Mausi mama Chacha etc. the same is very much taxable under the above said law.
Thanks.
CAclubindia
