Bank fixed seposit as gift

The interest Income would not be exemp the interest income will be clubbed in the other income of the individual and if the total Income exceeds maximum amount chargeable to tax then tax would be payable.

Gift would not be taxable in the hands of your son / wife. However, please ensure that the same amount have been included in the income of your son / wifein the return of income(though it is fully exempt) and the same has been debited to capital account of yr father. The concept of clubbing deos not arise in this case.

Let be a simple gift deed also which mentions about the transaction..