Regarding gift tax.
Dinesh
(Querist) 24 October 2014
This query is : Resolved
I want to know if one has to pay a tax on a house received as gift from a relative. If yes at what percentage and how it is calculated.
Also will the tax rate vary if the person receiving the gift has a share in another house already.
Thanks.
Anirudh
(Expert) 24 October 2014
You have to indicate from which 'relative'? One may have many relatives. But only some have been treated as 'relatives' for the purpose of Income Tax. Therefore, you have to specify from which relative the person will get the gift.
Shailesh Kr. Shah
(Expert) 24 October 2014
Gifts received from any relative, as defined under the Income Tax Act, is not taxable. Relatives include spouse of the individual; brother or sister of the individual; brother or sister of the spouse of the individual; brother or sister of either of the parents of the individual; any lineal ascendant or descendant of the individual; any lineal ascendant or descendant of the spouse of the individual; and the spouse of the person referred to as aforesaid.
If your relative comes under above category, you have nothing to pay income tax.
In other case, stamp duty value exceeds Rs 50,000 the stamp duty value of gifted property is taxable under the head 'income from other sources'.
