Tax relief! You don't have to pay income tax on this money gift

Gift received from a relative (including brother) is not liable to tax. Hence, you can receive the gift money in your bank account and you would not be required to pay tax thereon.

Gift received from a relative (including brother) is not liable to tax. Image source: Pixabay

My brother is planning giving me money. Should I accept it in my account directly? Will I have to pay tax? - Radhika Harikrishnan

Gift received from a relative (including brother) is not liable to tax. Hence, you can receive the gift money in your bank account and you would not be required to pay tax thereon.

While selling my flat if the price is lower than ready reckoner rates will I get a tax notice? How much tax will I have to pay? - Kushal Verma
As far as the liability to pay tax on capital gains arising on sale of flat is concerned, the taxpayer is required to consider the sale consideration or stamp duty value of the flat (which is computed on the basis of the circle rate) whichever is higher. In case the stamp duty value is higher, the taxpayer has to compute his capital gain tax liability by considering the stamp duty value as the sale consideration.

My PPF account will complete 15 years. If I extend it will I still get section 80C benefit? - Rupa Gulati
Where you want to extend the account and keep depositing, the bank or post-office has to be informed in writing (Form H) within prescribed time. Deposits made without furnishing this Form, will be treated as irregular interest will not be paid on them. Also, the benefits of Section 80 C will not be available on deposits made in PPF account after expiry of 15 years without filing for continuance of the account.

By, Chirag Nangai
(The writer is Director, Nangia Advisors LLP)

Source: DNA Money

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Section 80C