Tax treatment on FD created our of money as Gift from daughter

POSTED BY subhaschandrac ON October 5, 2013 11:31 pm ONE COMMENT

Received Rs 10 Lac through Cheque from My  daughter from her savings as gift under documentation and I have invested FD in my name and i Have my own annual income of Rs 1.5 lac from pension

question is how interest earned from above FD is treated for purpose of Income tax

I mean whether Interest income is clubbed with income of Donor or whether Income earned from FD is to be treated as income from other source in my Return?

I am income tax assesse and filing return every year

One reply on this article “Tax treatment on FD created our of money as Gift from daughter”

  1. ashalanshu says:
    October 7, 2013 at 10:21 pm

    Dear Subhashchandrc, the amount is now your capital post gifting and any income derived from this gifted amount is taxable in your own name. So the FD interest ‘ll be taxable in your name only.

    Your D’ter does not bear any Tax liability now on the Gifted amount or income thereof.

    thanks

    Ashal

    Reply

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