Hello sir, i was going through one of your article on gift and income tax,
pls help me here ;I transferred >10 lacs to my brother in last FY as a gift. I understand it is not taxable for him. Is it really necessary for him to disclose this gift amt since it is not actually an income for him?
- if yes, under which section of itr-1? Pls let me know.
1 Answers
Hi,
I am assuming that this is done through online banking wire transfer.
Yes, it is tax-exempt in this case.
Since it is a bigger corpus, it is advisable that your brother declares this amount as an 'Exempt income' when he files his income tax return.
In ITR - 1 form, he can report this income under the section : Part - D, Exempt income row (for reporting purpose) -> Others (can specify as gift from family member).
Related articles :
https://www.relakhs.com/gift-income-tax-rules-detailed-guide/
https://www.relakhs.com/sale-gifted-property-capital-gains/
https://www.relakhs.com/new-itr-forms-ay-2017-18-fy-2016-17/
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