Please Help: GIFT TO NRI
Posted Date : 27-Apr-2012 , 04:05:09 pm | Posted By shalini gupta
whether cash gift given to US Citizen by her cousin is taxable? under which section it is taxable ..section 195 or section 56(vii)....Is it possible to avoid tax
Category : Income Tax | Answers : 4 | Comments : 0 | Hits : 475
Answers
Answer By: Vikash Kumar Jha
As per section 195, TDS on Payment of any sum excluding salary to NRI will be deducted if the income of NRI is taxable in India while if it is not Taxable than No TDS. However if gift to a NRI takes place outside india , it is income arising or accruing outside india.........which is not taxable in his/her hands in india.......watch out for laws in that country for such gifts
Answer By: CA Satuti Mahajan
Any payment made outside India is taxable.
Answer By: Rishabh Upadhyay
As cousin is not covered under defination of relative, gift made will be income under section 56 Vi,, however please check for OR and NOR relating provisions
Answer By: Rambabu Senkarasetti
yes it is taxable
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