Who is relative under income tax act

Indian festivals are incomplete without exchanging gifts. A lot of gifts ranging from cash, gold , diamonds, financial gifts such as shares , land etc. The gifts that you receive might not always be tax free.

Gifts received from relatives are exempt from tax. Further, gifts received at the time of marriage are exempt from tax. Get latest updates Submit. Our Network Sites. India's largest network for Finance Professionals. CCI Menu. Login at CAclubindia. CAclubindia India's largest network for finance professionals. User Name. Remember Me Forgot Password? Register Now. Site Search. Income Tax Articles.

List of relatives covered under Section 56 2 of Income Tax Act, Exhaustive List of Relative under Section 56 2 Sr no. Relative Covered under 1. Brother and his wife Clause ii with vii 3. Sister and her husband Clause ii with vii 4. Kaka — Kaki Clause iv with vii 7. Fua — Foi Clause iv with vii 8. Mama — Mami Clause iv with vii 9. Masa — Masi Clause iv with vii Father — Mother Clause v with vii Grandfather — Grandmother Clause v with vii Son and his wife Clause v with vii Daughter and her Husband Clause v with vii Father in Law and Mother in Law Clause vi with vii Tags: Gift , gift from relatives , section 56 , Tax on Gift.

Overview of Transfer Pricing. No addition on account of capitalization of royalty expenses as same is revenue in nature.

Rental income from sub-lease shall be considered as Business Income since same was business of assessee. Whether daughter, s daughter is a relative under section 56 of Income Tax Act.

August 18, at pm. Sonu bajaj says:. August 9, at pm. Whether gift received from maternal uncle is exempt from tax. March 7, at pm. Prabudeva says:. Meaning of Relative for Section 56 2. The persons who are considered as relatives are In case of an individual Spouse of the individual Brother or sister of the individual Brother or sister of the spouse of the individual Brother or sister of either of the parents of the individual Any lineal ascendant or descendant of the individual Any lineal ascendant or descendant of the spouse of the individual Spouse of the person referred to in above points In case of HUF — Any member of the HUF Based on the above points there may be 51 relations from which gift is not taxable in hands of individual S no.

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