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Question ID : 44604


A sister has given gift Rs 10Lacs to his brother through bank whether income derived by brother will be clubbed in sister's income. Further where brother does not earn income but uses this gift to clear his outstanding liability What will be the consequencies

Posted by Mahesh Kumar on Feb 01, 2024


Answer ID : 85287

• Any sum of money received without consideration, it can be termed as ‘monetary gift’ • Money received from relatives. Brother or sister of the individual; • The aggregate value of such sum of money received during the year exceeds Rs. 50,000. • Rs 10 from sister be charged to tax because brother is covered in the definition of ‘relative and aggregate amount of such gift received during the year exceeds Rs. 50,000. It is irrelevant whether brother earns or not & how he uses the amount gifted.

Posted by Hari Beldona on Feb 01, 2024
Answer ID : 85311

1. Income derived by brother shall not be clubbed into the income of Sister. 2. Brother is free to utilise the gifted money for earning income or to pay his outstanding liability.

Posted by Raj Rani Lakra on Feb 06, 2024
Answer ID : 85318

Gift from sister to brother is exempt as they fall under relative definition. Income would not be clubbed in the hands of the sister. Brother can use this gift in any way.

Posted by SHUBHAM SONI on Feb 09, 2024