Question ID :
44555
082701
A married Lady wants to gift 1 crore to brother of his father
Will this raise questions from Income tax department
Posted by
Mahesh Kumar
on
Sep 28, 2023
Filed Under
DIRECT TAXES
She will have to prove source of funds to the Income Tax Department.
Posted by
CA Ravish Thakur on
Oct 03, 2023
Answer ID :
85175
YES YOU MIGHT GET NOTICE FROM INCOME TAX DEPARTMENT ASKING TO EXPLAIN SOURCE OF INCOME OF GIFT
Posted by
CA Shrawan Suthar on
Oct 12, 2023
Answer ID :
85189
As per Section 56(2)(VII) of Income Tax Act 1961, tax Incidence should not arise but Income Tax Department may ask for source of Gift in the hands of doner.
Further don't forget to disclose gift as exempt income while filing Income Tax Return.
Posted by
Ankit Vijaywargiya on
Oct 14, 2023