I got Rs 2 Lakh gift amount on occasion of marriage. I'm earning interest on that amount by depositing in Bank as FD for period of 3 years. I'm showing every year in IT returns as Interest income from banks. After maturity how I will show that 2 lakhs amount in Returns? Is it taxable or exempted?
2 Answers
Hi,
Gifts received on the occasion of marriage are tax-free.
However, interest income on the deposit is a taxable income and you are right in disclosing this in your ITR.
Gift amount can be shown in your ITR under 'Exempt income' section for the Assessment year in which you have received the gift.
Kindly read: Gifts & Tax implications.
Sorry,I can’t understand.
I got exempted gift amount 2 lakhs in 2013.Im earning interest on that gift by depositing in bank FD.The validity of that FD is 2014-2018.I’m showing interest amount every year in ITR.After maturity(In 2018) how can I show that 2 lakhs in ITR i.e in which head I have to show?
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