Author Topic: Taxability of Gift to Son  (Read 11387 times)

pr50

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Taxability of Gift to Son
« on: June 02, 2012, 10:26:07 PM »
My son is planning to buy a house by availing of a Bank Loan, but will still fall short of about Rs 30 lacs. My question is if I gift him this amount what will be the tax implications? Would this be treated as Income in his hands, or would it be treated as a taxable Gift in his hands? What would be the most tax effective way for me to give my son this amount and to ensure that I follow the correct procedure?

srinivasan

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Re: Taxability of Gift to Son
« Reply #1 on: June 03, 2012, 11:24:27 AM »
No tax impact,if he is a major and it is out of your source which can be proved if need arises.u can gift it or viva int free loan

mohiticai

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Re: Taxability of Gift to Son
« Reply #2 on: June 04, 2012, 03:42:07 PM »
No tax on gift to son whether he is major or minor.

srinivasan

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Re: Taxability of Gift to Son
« Reply #3 on: June 04, 2012, 04:58:37 PM »
The only thing is that if he is a minor , the income is to be clubbed as per section 64.
srinivasan

mohiticai

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Re: Taxability of Gift to Son
« Reply #4 on: June 13, 2012, 06:29:15 PM »
Mr Srinivasan is right, if the house gifted to son is not used for residential purpose and is used for further earning income by way of rental income or otherwise, such income will be clubbed if son is minor

deepak garg

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Re: Taxability of Gift to Son
« Reply #5 on: June 30, 2012, 11:48:28 AM »
you may give gift  to your son, there shall be no tax implications in such procedure because as per law gift to relative is not under tax implications........

You may also give him amount by way of Loan, if you want to avoide such gift deed procedure



Regards
Deepak garg