The residential status of Thomas for the previous year 2019-20 is of a resident but not ordinarily resident (R&NOR). He has following income during the year and asks you to explain by giving brief reasons as per prov
CS Professional · Advanced Tax Laws and Practice · PYQS · December 2020
The residential status of Thomas for the previous year 2019-20 is of a resident but not ordinarily resident (R&NOR). He has following income during the year and asks you to explain by giving brief reasons as per provisions of the Income Tax Act, 1961 whether the same be taxable in the assessment year 2020-21: (d) Gifts received from brother of ₹ 21,000 and gifts of ₹ 51,000 received from persons who are not a relative on the occasion of his marriage.
Answer & Explanation:
All gifts from the relatives specified in section 56(2) and those received at the time of marriage from any person are not taxable. Therefore, total amount of gifts of ₹ 72,000 [21000+51000] received on the occasion of the marriage from the brother and friends are exempt from tax.
Topics: Income Tax Act, 1961
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