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Ranadeep Sinha (N.A.)     02 May 2010

Money Gift

Mr.A has gifted by way of cheque a sum of Rs.6,50,000/= to his mother Mrs.B out of natural love and affection. The transaction is reflected in bank pass book of both Mr.A and Mrs.B and also in the balance sheets which were filed along with their respective returns.

Is it necessary and / or mandatory to affirm an Affidavit by Mr.A that he has indeed gifted the aforesaid sum of money to Mrs.B?

If it is mandatory then kindly mention the section and / or statue which makes such affirmation of Affidavit mandatory.



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 3 Replies

A V Vishal (Advocate)     02 May 2010

Gift deed of immoveable property is mandatory to be executed and registered after paying the requisite stamp duty under the Indian Registration Act, however the gift of moveable property is only optional if documented will help in case of any tax hassles.

A V Vishal (Advocate)     02 May 2010

gift of moveable property is only optional is to be read as gift of moveable property is not required under law

AMIT BAJAJ ADVOCATE (ADVOCATE)     02 May 2010

YES no documentation is mandatory in case of gift of movable properties. For Income tax purposes even a simple letter from the donor regarding confirmation of gift would suffice.


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