| Question And Answer | |
|---|---|
| Subject: | Exemption u/s 56 (2) (x) |
| Category: | Income-Tax |
| Querist: | BINOD KUMAR CHOKHANI |
| Answered by: | Advocate Shashi Ashok Bekal |
| Tags: | Gift, son |
| Date: | December 12, 2021 |
my son who is canadian PR holder has gifted a sum of Rs. 5 Lac in FY2020-21 to me. how can i show this in ITR & claim the exemption?
Your son is your relative as per the term “relative” defined under explanation (e) to section 56(2)(vii) of the Income-tax Act, 1961 (Act). Therefore, the same is exempted income under section 56(2)(x) of the Act. It is advisable to show the gift in the Income-tax return under the head “Income from other sources”.
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Gift from relatives defined in section 56 not an income . It is capital receipts and there is no category in ITR to disclose Gift received from relatives but justification can asked along with documentary evidence during scrutiny assessment, if fixed for hearing. Thus need to maintain the records but no need to declare the same in ITR as there is no such column to explain it in ITR.