Reg. tax on gift
parthabandhu guha
(Querist) 27 April 2017
This query is : Resolved
I have transferred rs.15 lakhs to my senior
citizen mother's bank account. This money I have got as my retirement benefit like provident fund, gratuity etc. My mother has
no other income.
Now I want to know whether my mother will have to pay tax on it ?
Whether I have to pay tax on the interest amount accrued on the money ?
Please clarify the position.
VARUN MAHAJAN
(Expert) 18 July 2017
AS PER LAW
Provided that this clause shall not apply to any sum of money received
(a) from any relative; or
(b) on the occasion of the marriage of the individual; or
(c) under a will or by way of inheritance; or
(d) in contemplation of death of the payer; or
(e) from any local authority as defined in the Explanation to clause (20) of section 10; or
(f) from any fund or foundation or university or other educational institution or hospital or other medical institution or any trust or institution referred to in clause (23C) of section 10; or
(g) from any trust or institution registered under section 12AA.
Explanation.For the purposes of this clause, relative means
(i) spouse of the individual;
(ii) brother or sister of the individual;
(iii) brother or sister of the spouse of the individual;
(iv) brother or sister of either of the parents of the individual;
(v) any lineal ascendant or descendant of the individual;
(vi) any lineal ascendant or descendant of the spouse of the individual; (vii) spouse of the person referred to in clauses (ii) to (vi);]
Moreover a gift deed should be executed side by side
