hellojv 12 August 2015

Income tax on amount received from father

Hi,

I have received 4 lakhs Rs. from my father through check into my bank account. I had borrowed cash ammount from my friends at the time of wedding. So I have withdrawn the cash from bank that my father transferred to me and paid it back to my friends in cash. Do I need to pay any tax on this amount that was transferred to my account by my father?

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3 Replies

VARUN MAHAJAN (Proprietor) 12 August 2015

NO TAX AS SUCH

You can show that amount as Loan from Father as unsecured loan and after some time you pay back your father through cheque only

GANDHI MOHAN BHARATI (Pensioner) 15 August 2015

If you show the amount as gift from your Father, it will not attract any Income Tax. Howevever any income out of such amount such as interest earned is liable for Tax. You can Google search " Gifts from close relatives income Tax" for thew exact provisions