gift deed agreement to parents
Querist :
Anonymous
(Querist) 18 September 2011
This query is : Resolved
Myself and my sister each of us got a share of around 1 Lac from sale of Anchester property. We now intends to give as a gift to our mother. Hence pls can you confirm the following as per income tax laws :
1) Can myself as a son can gift the same to my mother
2) Can my sister who is married can also gift the same to my mother
3) Should we make a gift deed agreement stating that we have gifted the same to our mother
4) Would any tax be applicable either to me, my sister or mom for this gift.
Thanks and pls help
Regards
VT
Raj Kumar Makkad
(Expert) 18 September 2011
1. Yes.
2. Yes.
3. Yes.
4. This shall be applicable for both donors.
Shastri J.K.
(Expert) 18 September 2011
I agree with mr.raj kumar makkad.
Shailesh Kr. Shah
(Expert) 18 September 2011
1. Yes
2. yes
3. Yes
4. no income tax would be payable on gift.
Shailesh Kr. Shah
(Expert) 18 September 2011
As per Section 56(2)(vii) of the Income tax :-
The new provisions is described as under :
I. If any sum of money received without consideration, the aggregate of which
exceeds Rs.50,000, the whole of such sum will be chargeable.
II. If any immovable property received –
(a) without consideration, the stamp duty value of which exceeds Rs.50,000,
the stamp duty value of such property will be chargeable.
(b) For a consideration, which is less than stamp duty value of property by an
amount exceeding Rs.50,000, the stamp duty value of such property as
exceeds such consideration will be chargeable.
III. if any property other than immovable property received –
(a) without consideration, the aggregate fair market value (FMV) of which
exceeds Rs.50,000, the whole of aggregate FMV of such property will be
chargeable.
(b) For a consideration, which is less than the aggregate FMV by an amount
exceeding Rs.50,000, the aggregate FMV as exceeds such consideration
will be chargeable.
However any such gifts received from relatives shall not be treated as income.
For the purpose of this, ‘relative’ means : ‐
(a) spouse of the Individual;
(b) brother or sister of the individual;
(c) brother or sister of the spouse of the individual;
(d) brother or sister of the either of the parents of the individual;
(e) any lineal ascendant or descendant of the individual;
(f) any lineal ascendant or descendant of the spouse of the individual;
(g) spouse of the person referred to in clause (ii) to (vi).
Guest
(Expert) 18 September 2011
I endorse the views of the experts.
prabhakar singh
(Expert) 18 September 2011
While answer to your first three question are in AFFIRMATIVE.
ABOUT THE 4th QUESTION MY SHORT SHARP VIEW IS
THAT::
a] Gift so received by your mother is not taxable in her hands.
b]Amount so earned by you and your sister is from sale of ancestral property which shall/may be charged under head LONG TERM CAPITAL GAINS TAX for calculation shall be based on cost of index provided for.
prabhakar singh
(Expert) 18 September 2011
While answer to your first three question are in AFFIRMATIVE.
ABOUT THE 4th QUESTION MY SHORT SHARP VIEW IS THAT::
a] Gift so received by your mother is not taxable in her hands.
b]Amount so earned by you and your sister is from sale of ancestral property which shall/may be charged under head LONG TERM CAPITAL GAINS TAX for calculation shall be based on cost of index provided for.
soumitra basu
(Expert) 23 October 2011
I agree with Mr. Prabhakar Singh
