We love getting gifts. Gifts might involve a lot of emotion and tradition. But we have to consider practical and mundane things like rules and taxation when it comes to gifts in terms of cash or assets.
NRIs can give and receive gifts in cash or kind (jewelry, antiques, property) to and from relatives and non-relatives in India. Check NRI Gift rules & exemption limits…
You can also get NRI Gift Deed Format from the end of this post
NRI Gift Tax India
Let us look at the tax implications of gifting for NRIs but first check basic definitions which will help you in understanding the rules & other issues.
Definition
The Income Tax Act defines gift as any asset received without consideration like money or money’s worth. It can include cash, movable property, immovable property, jewelry etc.
Relatives and Non-relatives
The treatment of gift tax is different when given to relatives and when given to non-relatives. The following people are considered relatives –
| Father | Child’s Spouse |
| Mother | Grandchildren |
| Stepmother | Grandchild’s spouse |
| Spouse | Siblings |
| Children | Stepsister and Stepbrother |
| Stepchildren | Siblings’ spouse. |
| Grandparents |
All other persons are considered non-relatives.
NRI Gift Rules
- Immovable property can be gifted to an NRI provided the remittance of sales proceeds does not exceed USD 1,000,000 per year.
- NRIs can get gifts from relatives in the form of shares and securities provided the gift does not exceed 5% of paid up capital of the company; the sectoral cap is not breached and the NRI is eligible to hold the securities.
- Gift received from a specified trust, specified fund or as a scholarship from educational institutions is not taxable.
- If the gift is an immovable property outside of India, it is exempt from tax.
- The value of the gift cannot be considered as deduction while calculating income tax.
- Income received from a gift in India is taxable in India whether the receiver and giver are Resident Indians or NRIs.
- When you receive a gift, make sure the necessary documentation is in place.
- Cash gifts that exceed Rs. 2,00,000 can be subject to penalty. Ensure that you get the relevant gift through cheques or bank account transfers.
Gift by NRI to Resident Indian
NRI gift to Resident Indian – Let us look at the different scenarios when an NRI gifts a Resident Indian –
- Gift from NRI Relative are exempted from tax – When an NRI gives a gift in the form of cash, cheque, items or property to a Resident Indian who is a relative, both giver and receiver are exempt from tax in India.
- When an NRI gives a gift in the form of cash, cheque, items or property that is within the value of Rs. 50,000 to a Resident Indian who is not a relative, both giver and receiver are exempt from tax in India.
- When an NRI gives a gift in the form of cash, cheque, items or property that exceeds the value of Rs. 50,000 to a Resident Indian who is a non-relative, gift tax is payable by the receiver. The amount is added to the receiver’s income and taxed as per the income tax slab applicable to the receiver.
- When an NRI gives a gift in the form of cash, cheque, items or property to a Resident Indian for marriage or through will, both giver and receiver are exempt from tax in India irrespective of the ‘relative’ status.
Gift to NRI by Resident Indian
Resident Indian gives a gift to an NRI – Let us look at the different scenarios when an NRI receives a gift from a Resident Indian –
- Gift to NRI Relative are exempted from tax – When a resident Indian gives a gift in the form of cash, cheque, items or property to an NRI who is a relative, both giver and receiver are exempt from tax in India.
- When a resident Indian gives a gift in the form of cash, cheque, items or property that is within the value of Rs. 50,000 to an NRI who is not a relative, both giver and receiver are exempt from tax in India.
- When a resident Indian gives a gift in the form of cash, cheque, items or property that exceeds the value of Rs. 50,000 to an NRI, who is a non-relative, the gift tax is payable by the receiver. The amount is added to the receiver’s income and taxed as per the income tax slab applicable to the receiver. The maximum limit for such a gift is USD 250,000 in one financial year. [This limit is defined under LRS (Liberalised Remittance Scheme) – the total amount of foreign exchange purchased from or remitted through, all sources in India.]
- When a resident Indian gives a gift in the form of cash, cheque, items or property to an NRI for marriage or through will, both giver and receiver are exempt from tax in India irrespective of the ‘relative’ status.
- When a resident Indian gives a gift in the form of shares or securities of an Indian company, the total value cannot exceed USD 50,000 in one financial year. The gift should follow the regulations of RBI regarding NRIs holding stock in Indian companies.
When you give a gift or get a gift, make sure you understand the rules regarding gifts and the tax implications and act accordingly. wiseNRI
The information that I shared in the above post is one part of the story – issues can be complex based on your resident status. If we talk about USA – you can gift up to $15,000 in a year. This is not that simple but just an example. So check rules in countries where you are staying.
NRI Gift Deed Format
It’s important to sign gift deeds & keep them safe to avoid issues in the future. Many readers were asking for sample NRI gift deeds that they can copy. So I have added ready to use gift deed format for immovable property & even movable property.
Please share any additional information or experience that you have about a gift to NRI or gift from NRI – that will really help all readers. If you have any questions related to NRI gift tax – feel free to add in the comment section.
The limit to gift to US NRI is 15 K in 2018, every year it is revised.
You need to define who are all relatives.
Useful article, may add a para on bank/ IT formalities as well. SOme banks ask for specific forms from auditors to send gift money to NRIs.
Thanks for your suggestions – I have updated US NRI limits.
US gift laws are not applicable to non US persons(people who are not US passport or green card holders or not resident in USA on a H1B visa or any other visa). If cash is gifted no issue and if the amount is above $100K the donee has to notify tax authorities since he is a resident in USA. If a property in USA is gifted then there are tax implications
Non relatives
How are cash transfers by a resident or NRI father to resident son through net banking are treated for tax for giver as well as receiver?
Dear Sanjay,
If I assume son is major – in that case, there are no tax issues in India. But to show that transferred amount was a gift – one can write a simple gift deed.
In case of a minor son – any income from such transfer will be added to father’s income.
As resident indian, I want to gift my NRE daughter $ 10,000. What does it mean by ” it is tax exempted in India for giver and receiver. Can the giver reduce this gift amount from his taxable income. What is limit for giving US$ as gift to NRI relative.
Hi Vimal,
Sorry I am not able to understand this “Can the giver reduce this gift amount from his taxable income” – this is a gift & not donation.
Gifts either in India or USA are NOT tax deductible.
I am Basha from Chennai 63 years old. I want give money from my properties who is in settled in Australia with P.R. How much I can transfer to my son. Did I should pay tax in India.
My son should pay tax in Australia.
Please clear my doubts
Thanks
Husband is NRI, and he is gifting money to his wife who is resident indian. This transfer is from husband’s NRE account to wife’s Resident saving account. If she does the FD and earns interest income. Taxation point of view, who will have to pay tax on this income husband or wife?
Hi MK,
In the case of wife or minor kids – clubbing of income will apply. Husband will pay the tax.
Thanks for a very informative post. I have a question: A NRI transfers rs. 10.000 every month from his nri account to his resident indian brothers savings account in order to assist him financially. Is this deal taxable? If yes, who has to pay and how much?
Hi nutan,
If a NRI gives Gift to Resident Indian (Relative),it is exempt from tax in hands of both receiver and giver.You are sending money through bank transfers amounts to RS 120000 yearly. Your brother can claim this amount as gift and it is exempt from tax in his hand. Remember this Gift should be backed up by gift deed to claim exemption
In India receiver pays gift tax. Receiving Brother is a relative and any amount of gift from a relative (brother/sister) is NOT taxable to him in India. But there may be taxation to giver in the country of residence. Please check on that. In USA the giver of gift is taxed if the yearly amount of gift exceeds USD 15000/- (Rs.10,50,000/-approx.). But your yearly total gift amount is only Rs.1,20,000/-. So No Tax in USA. Check tax rules if you are residing in any other country.
1. with reference to the point that NRI relative can receive gift in form of cash,cheque items or property from resident relative, is there a limit on the amount in cheque/cash that can be given to the NRI?
2. are uncles, nephew, neices included in relatives definition for any such gift deeds?
Hi shrikant,
1. Cash gift that exceeds Rs 200000 is subject to penalty and other than that is tax free
2.You can check relative list above in this Article
Can I take gift from my nri son at my huf file
Hi Ajay,
Yes, you can as your son is member of your HUF
Gifts received by HUF from its members is exempt. But gift received by HUF from relatives of members shall be taxable.
I am a NRI. I want to send money from my US account to my brothers resident acccount a sum of Rs 10 lacs as a Loan or gift .Can I do that
Hi rohan,
Yes you can do that as you are NRI and your Brother is relative.If you are giving that amount as a gift, your brother can claim gift exemption regarding this.
I am NRI and my wife stay in India. How much money I can give to my wife in a year through Cheque or bank transfer
Hi Tushar,
There is no limit on Cheque or Bank transfer but there is a limit on cash gift which is Rs 200000. Above this amount, there is a penalty
what all documents needed to gift a property to indian resident by NRI?
Hi Deepti,
You have to prepare a gift deed, which contains details of the property which you want to gift.Such deed also provide as a evidence for tax exemption in the hand of receiver.
My son is working in Nigeria and he wants to send gift in dollar to my and my wife account and also he wants to send gift in dollar to my huf account, can it tax free income in India. please confirm
Hi Ajay,
As your son is relative to you and your wife , there is no gift tax in your’s and your wife’s hand whether you receive gift in dollors or rupees.And Gifts received by HUF from members is exempt from tax. Remember that such gifts should be backed up by gift deed.
My daughter in US is a neighborhood. How much can she gift mother and sister in 2019 from her nro account.
Mother and sister residents on India, staying in India. Will she have to show the gift given to her tax consultant in the US if it’s below the limit?
Hi SW,
My understanding is she can easily gift $14000 to her mother.. not sure about sister.
Does a British national with OCI Card have to pay gift tax when receiving cash from Indian relatives as gift
Hi Osma,
If you are receiving gift from relative, both giver and receiver is exempt from tax in india.
Can my sister-i-law & her husband gift me money above Rs.20Lakhs from USA, & not attract tax?
Hi Avi,
As you see above in the Article, Sister-in-law and her husband are not covered in Relative definition. From non relative you can receive gift tax free upto 50000rs and beyond that only on specific occassion like on marriage or through will.
Does an NRI having stock market investments have to pay taxes on the capital gains before repatriating funds from India to his / her overseas bank account and at what rate?Can NRIs also file their returns online
?
Yes Abhishesh – NRIs have to pay capital gain tax
https://wisenri.com/tax-rates-for-nri-indian-income/
Can nri gift to brother children wife? How much gift allowed to gift by us citizen (nri). To relative in 1 year
Dear Subhash,
Yearly limits are revised every year – right now it’s $15000 per year. Regarding “Can nri gift to brother children wife?” – I will suggest you to check with US CPA.
My father has a property (vacant land) under his name & he purchased this property in 2005 for Rs.10Lakh and now it’s worth Rs.20 Cr. I am an NRI and I would like to understand what is the best option to minimise the tax / CGT.
1) option#1: I receive the land as a gift from him, I sell the land and transfer the sale proceed to my overseas bank account via my Indian bank account
2) option#2: He sells the land and transfers the money to my bank account as gift and I transfer the money from my Indian bank account to my overseas bank account
I understand that there are other factors like FX and taxation laws of my residing country. I’d like to understand if there is any other (legally abiding) option that is better from a financial perspective.
Thanks for your help & guidance.
Regards.
My suggestion is you should hire a CA for this.
Hi what was the best option that worked for you?
Joint flat owners. Husband n wife. Husband NRI wife resident indian. They want to sell this flat. To avoid high TDS upto 23.92% can the NRI gift the flat to wife and then wife sells the flat immediately so that TDS is 1%
Hi Surendra,
Regarding this, its better to consult a CA
My brother is a NRI and he is planning to send me Rs 2000000 as a gift. I am a resident Indian.
Hi Krish,
Yes, you can receive it, as your NRI brother is relative. Both giver and receiver are exempt from tax in india. Ensure that this gift should be backed up by gift deed for reference.
I have sold a property in India and paid the capital gains tax etc. The money is in my NRO account . I am a NRI based in UK. Can I remit the tax paid money as gift to my son and daughter in their UK bank account from my NRO account ?I have the CA certificate as well. Is there a limit how much can I remit outside India ?
Hi Brij,
As your Son and Daughter are both relative, you can remit this amount as gift and no gift tax attracted to both receiver and giver.But remittances from NRO to NRE account are limited to USD 1000000 in a financial year.And further proper documentation is needed to send this money. You should hire a CA for this.
What are the income tax implications of transferring funds from one NRE account to another NRE account. The NRE accounts are under different account holder names and different banks.
Dear Naman,
It’s a gift, loan or just normal transfer in the family.
I am a NRI (now USA citizen) in old age. I want to gift my life’s savings which are in NRO account in India to my children in USA (who also are USA citizen). What is the limit of transferring money from Indian NRO account to their USA as a gift? What documentation do I need to submit to my bank in India?
Hi Mohan,
The limit of transferring is upto 1 million USD in one financial year. Mainly, you need to submit two documents 15CA and 15 CB.
Form 15CA is an undertaking by the NRI to remit Funds and this form is submitted online and acknowledgment should be signed and submitted along with form 15CB in bank. Form 15CB is a CA certificate
Hi,
I’m a resident Indian. I would like to gift INR 7 lakhs to my paternal uncle (Tauji) who lives in the USA. I would like to transfer the money to his NRO account via NEFT transfer from my SB AC.
What are the Tax implications and FEMA regulations compliance should I consider for the transaction?
Thanks,
Hi Ani,
Firstly your NRI uncle is non relative, gift upto Rs 50000 is exempt but beyond that is taxable in the hands of receiver. The maximum limit of transfer is $250000 in one financial year
I want to send 400000 for my grandmother is taxable
Hi Kumar,
As your grandmother is relative, both giver and receiver is exempt from tax in india. Remember it should be backed up by gift deed
Bank says I cannot gift sharesTo my children who are non-resident but your article here says otherwise how do I resolve this
Hi Suja,
You can gift shares to your children as they are relative to you provided RBI approval is required and regulations & compliances are required to be fulfilled like gift does not exceed 5% of the paid up capital of the company, sectoral cap is not breached, total value cannot exceed 50000USD in one financial year etc. Its better to consult a good CA for such matters
Gift Given to nri,it is taxable for payer and If income is chargeable to tax in India and any relief is claimed under DTAA-?or not
Hi AG,
First we should check whether NRI is relative or not, If he/she is relative then both receiver and giver are exempt from tax in india.
If NRI is non-relative then subject to certain exemption as mentioned above in article, gift tax is applicable and receiver have to pay tax in india. Regarding DTAA, its better to consult a good CA.
The gift in the form of a cheque from Father in Law is taxable for an NRO account?
Hi Arya,
Child’s spouse is covered under relative definition and NRI( father-in-law) can gift through cheque to resident indian, who is a relative and both receiver and giver are exempt from tax in india.
Please advise gift tax laws in case if grand parents in India have life insurance policy for minor grand children in USA as gift having US citizenship at the time of maturity
Hi JK Mahajan,
As grandchildrens are relative,both giver and receiver are exempt from gift tax in india
If we take property from nri person we r resident Indian how much tax calculate
Hi Radhey
If resident receives property from NRI relative then it is exempt from tax in India but if NRI is non-relative then the value in excess of Rs 50000 is taxable as gift tax in India. It is better to hire a CA for proper tax calculation
Gift in foreign currency from a relative received in India ?
Hi Shiva,
As per rules, residents are permitted to hold foreign currency upto 2000 USD or equivalent provided the foreign exchange was acquired by way of gift from resident outside india and who is on a visit to india
i want to know if i have to pay tax on money received from my brother living in U.K
Hi Amit,
If you are receiving the money as a Gift from your NRI brother,who is a relative then it is exempt from tax for both receiver and giver in india. Remember transaction should be backed up by gift deed
Can My son who is currently studying in the US on a F1 Visa,gift me any amount he wants from his resident SB account in India.He is not yet a NRI. Will there be any gift or other tax applicable to both.He files Non resident 1040Nr-Ez returns in the US and normal resident IT returns in India
Hi Sanjay,
As you both are residents and relative,there will be no gift tax in india
Hi,
I am an NRI and my sister who is a resident of India deposits a check for Rs. 10,00,000 to my NRE account as gift, what documents should be given to the bank?
Thanks.
Hi Suguna,
I think banks doesn’t require any kind of documentations for such transactions.You have to keep a copy of gift deed for future reference.
Is money received by resident sister from NRI sister NRE account fully covered by the gift tax exemption to relative law, regardless of the amount received over a period of 4-5 years ? Is this law about to be changed by the Indian govt anytime soon ?
If the NRI sister becomes a PR of any country will this PR status better safeguard the resident sister from being taxable for the gifts received via bank transfer ?
If i receive gift in the form of cash from my dad who for time being is an nri but later in the year he visits India and becomes a resident as per Sec 6, will that amount be taxable?
Hi Sushant,
As your father is relative, both giver and receiver is exempt from gift tax in india
Hi, I am NRI and in Germany would like to buy a flat for my mother in India. The flat costs around 40 lakh and I have all money in my HDFC NRE bank account. Can I simply send the money to my Indian brother account, so that he can tranfer the money to the seller directly and my mother can have a flat. I just want to know what would be the best scenerio to avoid any kind of hassle. Thank you
It will be better if you can directly transfer that money to your Mother.
Hw much nri brother can make a gift to married sister
Hi Mahesh,
There is a limit of 14000$ per person per year for gift tax-free transaction, any amount above this would be taxed as gift tax.
My son born in India obtained US citizenship before 7 years. He also holds PIO status. He has NRE AND NRO Saving Bank Account’s. My mother or my unmarried 71 years old sister wants to gift him INR 40,000-50,000. Obviously, cheque should be deposited in his NRO SA. Can he receive this cheque? Is gift deed necessary? If so, on Judiccial stamp paper of Rs 20/- is OK? Is it to be notorised?
My brother is an OCI , he wants to gift his inherited property tbrough a general poer of attorney . Is it legally allowed ?
Hi Sukumar,
Regarding legal matter, its better to consult a CA/ Lawyer
If a friend transfers about Rs. 10000 to 15000 Rs. every month to my savings account from USA to India will I be liable to pay tax on the same
Hi. Saima
Yes, That Amount will be added to your Income and will be Taxed as per your Slab rate.
Is money transferred to sister who is a resident in India from NRE account of NRI (self) fully covered under gift to relative exemption as specified numerous times above and is this law likely to be changed anytime soon by the Indian govt ? Also if the NRI becomes a PR of any country will that safeguard resident sister better from paying tax on the gifts received via bank transfer ?
Is a monetry gift of 25 lakh from my late father’s brother – free from tax? Firstly is he considered a relative for tax purposes and secondly, as a resident in the UK, british citizen with OCI, how do I bring the gift back to the UK?
How much USdollar can an indiindivi in india recerec fromfan NRI in a year
Hi Rajesh,
If NRI is giving gift to relative in india , there is no monetary limit.
But there is a limit of $14000 per person per year for gift tax free transaction. Any amount above this would be taxed as gift tax
Father and son are NREs can one transfer funds from sb acct to another
Hi, Krishnan
Yes, Transfer is possible.
I paid 10 lakhs from my NRE account to my fathers saving account account in india…is that taxable?
Hi Rizwan,
There is no question of tax on such transfers.
Can a person a foreign national residing in India gift his Commercial property to his son who is also a foreign citizen Non resident in India
Hi Pradnya,
Yes
if i transfer money from my nre or nro account to my savings Resident account then will be the amount taxable which is in savings account.
My husband and me, we are NRIs. My husband wants to gift me his flat in India but I am not in a position to goto India immediately. How do we make sure the gift deed is done?
Do I need to pay tax if I want to send chocolates to India from Europe?
Can an Indian being a father make a gift of Rs. 35 lakh to his NRI son for purcahse of property in India? Money will be deposited in his NRO Account. What is limitation?
Hi Avi,
yes, there is no limitation as they are relative, Gift can be transferred but it should be backed up with a gift deed.
I have a property in India and I have OCI.I want to sell that property b ut will attract 20% capital gains. Would I be able to gift it to my father who is an Indian citizen and he can sell it with 1% taxWhat do you think? Is there any other implication?
Hi Ashok,
I will suggest you to hire a good CA for tax planning
If I (a resident individual) received gift (money in my bank account) from NRI (relative/non relative) then is there any FEMA compliance or any ceiling limit on such gift amount.Kindly also give section/rule reference.
Can I receive money from my cousin living in australia. Is it taxable in india. He is my mum’s sister son.
Hi Sudha,
Your mums sisters son is non relative for gift tax purpose.If you receive gift upto Rs 50000 it is exempt but beyond this limit it will be taxable in the hands of receiver.
I am a resident indian. My daughter is NRI and earns in Euro. She has a NRE account. Daughter had taken education loan. Since she started earning she asked me to clear the loan and I have cleared the loan. She has sent me Rs.5 Lacs just now. is it taxable? This is the money which I have paid back to the bank when I got the maturity monies from deposits. She has actually paid back what I paid back to her loans?
Hi Raju,
Gift from NRI relative is exempt from tax for both giver and receiver. The amount you received is tax free in your hands.
Make sure that the amount you received is backed up by gift deed
Hi hemant,
I wanted to get your specific views on the following 2 cases:
1. My husband who is a foreign national (OCI Cardholder) would like to make monthly transfers of €800 equivalent in INR into my a/c as gift or maintenance (*A. what is advisable btw the two formats for tax purposes?*). I’m currently a NRI although I’m based in India for a few more months while my visa is being processed (expected take 2-3 months).
*B. should he send the funds to my NRO or my NRE a/c?
*C. would those funds be taxable for me in India?
2. I would like to transfer INR20-30L into my mother’s a/c 3-5 times a year. She is an Indian resident.
*A. would this amount be taxable for her?
*B. could she transfer a portion of these funds into my indian a/c in future?
Appreciate your specific advice. Thanks much.
I have friend in France now sent me 17000 euros but my they are asking FCRA certificate is this right?
I am a Indian citizen highly salaried person with all taxes paid. I want to gift my Nri son 1 million dollars. What is the formality
Hi Harsh,
As your son is relative, both giver and receiver are exempt from tax in india but the maximum limit of transfer is $250000 in one financial year
I am an Indian. I want to transfer shares of a start uo company as a gift to My brother who is a US citizen but lives in india
Hi. Lokesh
Yes, You can gift it to your brother. The Taxability will depend on certain points.
1) Whether Your brother is consider as your relative in the eyes of law.
2) The Company you are choosing is of which country,
3) In what Quantity you want to transfer the shares.
when sn NRI is gifting a property of worth 4000000, what percentage of tax he needs to pay to indian government
Hi Vijay,
If NRI is gifting property to relative, then it is tax free for both giver and receiver.But if NRI is gifting property to non relative then upto Rs 50000 exempt above that taxable in the hands of receiver
What is the tax implications for the receiver in USA in case an NRI receives usd gift from Indian citizen(a relative) via a bank transfer and what is the limit?
Hi Matri,
When an NRI receives gift from a relative in india,then it will be tax free for both giver and receiver in india. The maximum limit is $250000 in one financial year
I live in the UK, I am not Indian, but have an Indian friend who lives in India. I have given this friend 320,000 rupees in installments. Does my friend need to declare this money for tax purposes?
Hi susanna,
Yes he has to pay gift tax in india as he is non-relative and amount of gift exceeds RS 50000
I have received gift in foreign currency….so is it taxable
Hi Shreya,
As per RBI rules, residents are permitted to hold foreign currency upto 2000$. If foreign currency is within limit and received from relative ,no tax but if such foreign currency received by non relative then upto RS 50000 exempt beyond that taxable in the hand of receiver.
My brother who is in US for past 5years wanting me to gift a sportsbike…. so is that cost me any duties for accepting as a gift??
Hi Vijay,
You and your brother are relative. If your NRI brother gifts you sportbike then there will be no gift tax. Both giver and receiver are exempt from tax
I have a non relative out of india and i want to gift a property that is mine, is it possible?
Hi Jagan,
Yes, you can gift a property to non-relative but the receiver have to pay gift tax in India if property value exceeds Rs 50000.
Can an Indian resident send money to his nri uncle living abroad
Hi Ram,
Yes, you can send money to NRI uncle. Your NRI uncle is non relative, the gift is exempt up to Rs 50000 above that is taxable in the hands of the receiver. Maximum limit of transfer is $ 250000 in one financial year.
My brother, who works in US want to gift me a Kawasaki sportbike!! So i want to know how to get the import license, import duties and related documents!!! Can you give me a detailed guideline over this please!!
Hi Vijay,
Its better you should consult a CA
I have received 35000$ from a friend in US. I am from India. How much income tax i need to pay. He send money from my surgery and a marriage in family. We are friends not relatives
Hi Vishal,
When you receive a gift on occasion of marriage, it is exempt from tax irrespective of whether the giver is relative or not.
Other than that gift received from non-relative above Rs 50000 is taxable in the hands of receiver
iF I remit money to a non relative who is NRI , WHAT ARE THE TAX IMPLICATIONS AND ON WHOM?
Hi Dixit,
If your gift amount is upto Rs 50000, no gift tax on both receiver and giver. But if amount exceeds Rs 50000, then tax is payable by the receiver.The maximum limit for such gift is USD 250000 in one financial year
I am a senior citizen Indian resident. Can i transfer my share of the gains from sale of property in india to my daughter who is passport holder resident of Netherlands as gift or for her marriage or to buy property abroad. What are the tax implications?
Dear Pravin,
Transferring is not an issue. It will not be taxed in India but not sure about how the Netherlands will treat this money.
I am NRI, I want to give 15 lakhs rupees to my sister from my NRE account because her husband died suddenly a month ago. This is a gift from me to my sister and she will invest in jewelry for 8% return yearly to meet her day to day expenses. My question is whether me or my sister has to pay any kind of tax for the gifted amount or for the return?
Hi yahya
Sorry to hear that, yes you can transfer it but the interest on such investments would be taxable to your sister
my brother is u s citizen and he wants to gift 100,000 us $ to my married daughter in INDIA,she is indian citizen. Is it taxable to my daughter or my brother in india or us
Hi Bharat,
Gift upto Rs50,000 is tax free from a non-relative. Since both your daughter and your brother are not relatives for each other in eyes of law, your daughter has to pay tax.
is there any limit to the gift from a NRI relative that a resident can receive?
Hi Salman,
From my viewpoint, there is no limit. Gift from NRI relative are exempted from tax.
If a resident indian receives gift abroad, is it compulsory for him to bring it back in india ? If yes, any time limit ? If no, can he invest in property abroad ? Any permission needed ?
My UK friend wanted to buy a house what is the solution she is NRI
i am indian resident and my wife is NRI staying in USA. can i get gift at USA?
My son and daughter in law are uk resident planning for applying uk passport. Should they do as they have property in india which generates income in india apprx 3 _4 lacs per year in form of dividend n interest.
HI, I am NRI living i Australia. I have a property in India which i want to give to my mum. I still have Rs 24,00,000 loan remaining with the bank. Can i keep paying that loan after transferring the property to my mum or the loan has to be paid off before transferring the property?
I am an NRI leaving in Australia. I have a property in India. I want to gift it to my mum. I still have Rs 24,00,000 loan reamining. can i keep paying that loan after transferring the property or do i have to pay off the loan before transferring the property?
Can a father in law send gift money to son in-law from India to USA
Hi Sunny,
Yes
As an NRI CAN I MAKE GIFT TO ANY INDIAN FROM NRE account?
yes they can, but it is recommended to get it backed up by gift deed
Is some one gifts us from UK. And we receive it in india. Shall we pay any amount to it ?? Will that amount is refunded??
Hi. Akhilesh
It will all depend on who that ‘Someone’ is. If he/she is your relative then the gift is exempted but If he/she is a non-relative person then the ceiling limit if Rs 50,000.
Daughter is working in Singapore and having NRI account in India can she gift money from her NRI account to me in India
yes she can.
How many taxes is levied on case gift exceeds USD 10000 from a foreign friend to India. Is there any Penally for a cash amount.
I am a NRI. Can I transfer funds to my mother and ask her to invest in FDs? What’s the limit and what will be the taxes?
Hi Pankaj, there is no limit of sending money to your mother’s saving account but the interest earned on FD will be taxable to your mother’s income slab rate.
Can a resident Indian can return money recd from a friend in UK If so then what is the tax payable by Indian resident to return the money in recd in foreign exchange
Hi Sandeep
If the money exceeds 50000 than each of the transaction is liable for tax
My daughter is NRI gifted 12lakh to me from NRI account.Need format for gift deed and what will be he tax liabilities for me and her
There is no tax implies on relatives, you can check the gift deed format just below this article
Hi how to get gift registration? what is the % of gift registration?
I want to gift a puppy to my friend who lives in quebec. What will be the tax liability in our hands
As per income tax, puppies are not covered under any kind of property say it may be moveable or immovable. So you can gift it without paying any kind of tax.
I just want to remit some money to my first cousin lives in USA is there any implication on such remittance
it would be taxed if exceeds Rs. 50000
Does a person with RNOR status in India have to pay tax on a GIFT received in Indian NRE account paid from NON-RELATIVE abroad?
Hi Arun,
As per my knowledge, If the value of Gift exceeds 50000 INR then the whole amount will be taxed as per gift taxation.
What is the limit for an NRI to give gifts in cash (cheque, transfer in a/c), movable property, immovable property etc to his blood relative in India as per US tax laws, limit of gifted amount exempted from any tax liability for giver in US.
As per my knowledge, US NRI has a limit to transfer $15000 per year and 35% of tax would be levied if the amount exceeds this limit.
I have received money from my son who is in foreign country whether I have to fill any form to claim tax exemption
Hi Lakshit,
As far as my understanding is no form is required. If it’s a major amount, gift deed is a preferred option.
If suppose my foregion friend is giving me 4 million in my account i want to know how much tax will be deducted and will it be fine with my Indian account?
I am NRI and if my gift my apartment to my son who is a resident, does he have to pay stamp duty, etc. The property is in Bangalore
2019, the rules of resident gifting to NRI has changed and is now taxable at the hands of the receiver. You may update.
A foreigner has provided a gift to a citizen residing in India. Is there is any limit under FEMA or any law?? If yes whether it attracts any provision under Income tax.. please let me know
How much amount of miney can be transferred from gulf to india at once
Tax on gift of shares to NRI from resident ( Parents )
I am a person of Indian origin living in Sweden For the last 43 years. I have an inhertied property in India which i want to transfer or sell to my brother in blood relation. There are two way of doing it. One i just give him a gift and cost of transer deed will be around 1200 Rs but then i can not mention the amount we have decided the other i sell it at collecter rate and pay long term capital whatever it will be. property is registered on my name since 2000.In blood relation, my brother can gift me up to 250000 dollars /year without any permission from RBI So we both can give gifts to each other according to law. could there be any problem with income tax
I am an NRI living in Australia. I want to send 10 Lakhs to my brother in India who is a resident there. I want to send this amount through bank transfer as gift. My question is, will this amount be taxable in India either for him or me?Thanks.
Hi Sreepriya,
If your brother comes in the category of “relative” then the transfer would be exempt from tax else it would be taxed. please be sure that gift should be backed by a gift deed.
Should stamp duty to be borne by NRO for gift received from indian resident?
in your definition relatived does not include uncles and aunty however if we check on other websites uncle and aunty are included as relatives and their gift is exempt from tax so y does your list does not have uncle aunty
Gift received from a relatives in foriegn country it is exempted or not
Hi Anusha,
It is exempted from tax.
my late husband’s brother who is an indian citizen wants to gift money to his nieces, my children, who are US citizens. Are they considered in the relative category?
Hi Rani,
Yes, it is considered in the relative category.
My son is a Canadian citizen and I have property worth 5 cror which I want gift him what do I do, the best way?
I am UK citizen and my mother is indian citizen so can she trasfer money to my NRE account in India?
Hi Sandeep,
No, She can’t.
Whether a gift from an NRI to his or her NRI spouse given and received outside India is taxable in India?
No, it’s not taxable in India.
I am NRI. How can I get money gift from parents without any issue ?
Received gift rs80000 from his NRI friend how treat income from other sources
Does an NRI have to be present in India while gifting his apartment to his daughter?
Hi I am a US citizen but originally from India and my Indian brother wants to gift me money from India to US ? My question is can he do that ? What is the limit allowed ?
Hi Ash,
Yes, he can do that. Limit will depend whether he is your cousin or own brother.
If cousin then Rs 50,000 is limit whereas for own brother its totally exempted as he is your relative.
I am kidney failure ,I am coming from abroad,Now i need money for treatment,Can my father friend who is citizen australia sen me money in my saving account under family mantainance
An NRI as second holder in an FD liable to pay IT
Hi, If my sister (Indian resident) names my son (NRI nephew) as her contingent beneficiary, would the amount be subject to tax?
Hi Satish,
No, it is exempt from tax.
How much money can my brother in law and sister send me as gift and family help in one financial year.How much amount can a American citizen send to relative in India as gift and family maintainence in a financial year as per American law
Hi Kawal,
As per my knowledge, it is up to $15000 in a financial year
Hi my brother is in dubai if he sends me protien supplements to me in india, would it be taxable ?
Hi Sunny,
No, it is exempt from tax.
I want to gift amt equal to USD 100k to my father, a resident indian, which he will put in a FD. When the time comes could I get this money back in my NRE account without having to pay tax?
Can a resident India give a gift of foreign securities to an NRI? This is an unlisted company.
Up to what amount maximum I can gift to my brother who is a person of Indian origin residing in the united kingdom without paying gift tax
Hi Mythili,
There is no tax implies on a relative.
MY SON BEING AN NRI DOCTOR IN UK, AND GENERATES INCOME IN INDIA BY HIS CAPITAL HERE, WHICH HAS NOT COME FROM UK, .THIS INCOME IS FROM STOCK DIVIDEND AND MUTUAL FUND DIVIDEND AND INTEREST TO RELATIVES COMPANY,AND FILES INCOME TAX HERE AS NRI,IF HE DECLARE THIS INCOME IN HIS TAX RETURN IN UK, DOES HE NEED TO PAY TAX ON THIS INCOME IN UK, WHERE SOME AMOUNT IS NON TAXABLE AND DIVIDEND S ARE TAX FREE.
I want to gift my son who is an American citizen rupee equivalent to USD 30000 is there any tax implication
Hi Mukund,
No, it is exempt from tax.
I have grand daughter citizen of US. She is a minor. Gift given by me are taxable at the hands of parents is taxable in U S
Hi Ranveer,
No, it is exempt from tax.
Money received from nri relative is taxable?
Hi Rakesh,
It is exempt from tax.
My friend is in newyork, and he wants to send me all his savings it is 3.8millions, so what is the process
Is there a limit on transfer from NRII’s NRE account to savings account of his relative?
If I transfer money from my NRI account to my wife’s normal SB account is there any tax? Is there any limit? Please advise
To my question about gifting securities, I should add, the resident is my father, so a direct relative.
Hi Sid,
There is no tax implies on a relative. And your father is considered in a relative category.
If anybody getting currency as a gift from UK suppose 40000 to 50000 pounds cash so what will be the charge or tax in India or is there any problems to get gifts like that please explain it
Hi Dharam,
Cash gifts that exceed INR 200000 can be subject to penalty.
I am NRI, can I gift to my brother’s HUF account?
Hi,
Yes, you can.
GIFT FROM A NRI TO HIS BROTHER’S HUF ACCOUNT IS TAXABLE?
Hi Vikas,
It is exempt from tax.
But I read it somewhere only HUF member can gift
GIFT FROM A NRI TO HIS UNCLE (FATHER’S BROTHER) IS TAXABLE?
Hi Vikas,
Yes, It is taxable.
My spouse’s brother’s wife has sent an item worth ₹27000 to us through courier and it is being held at Indian foreign post office for showing the invoice. What r our options
I need to send gift to Netherlands will it be possible
Dear Ambika,
Yes, it is possible.
can NRI (indian citizen residing in USA) gift Rs. 3 crores funds to his real brother who is residing in india, from his indian earning (like rental income) and sale of property receipts that were held in his NRO account
One of my female friend wants me to send apple I phone and apple laptop from united kingdom to India. Did I have to pay tax for it.
Hi Mr. Sachin
As such it won’t be added to your income as it is not the property in the eyes of income tax, only customs duties would be applicable
can NRI gift funds to his real brother indian from his indian earning income that were held in his NRO account
Dear Sandeep,
Yes you can gift it to your brother.
Tax on gift property to NRI by non relative
Can my real sister an American citizen send me gift of Rs.4 lakhs Rs.?
Hi Suman
You need to check taxes on transferring money in that particular country, or else it is nontaxable in INDIA
Hello Sir,
Please guide if an NRI sends money in India for maintainance of his property in India to his brother in law and also some extra amount .. how will this be treated in income tax return of his brother in law .
Thanks in advance
Dear Suman,
Yes, she can.
My son is resident indian nri in US and on work permit. I am senior citizen and by selling my existing property I will need additional 50 lakhs from my son who has nro account. Should he make payment from his nro account or gift 50 lakhs to me so I can purchase flat with out any issue. Please guide me.
what is the income tax levied on cash/cheque received from NRI friend?
Hi Mr. Saminath
If the said amount is more than 50 k than it will be treated as income from other sources and taxed accordingly.
My father wants to send me $35,000 from India. My main concern is would there be any tax deductions at the end of the year for me?
Hi Mr. Rupinder
It would depend on the tax laws of that particular country.
If I send Rs. 99999 to my mother to India in 2 different transactions ( each below Rs 50000 ) then would she need to pay any taxes in India ?
Hi Robbin,
The gift to parents is non-taxable in INDIA.
I Am an Indian national and my brother is a green card holder.i want to gift my Indian property to him tax-free and transfer amount to USA so that he can use the amount .is it possible
how much amount Indian father can gift to his US citizen daughter as a gift
Hi
According to LRS, you can transfer $250000 as a gift
i have an nre account in india, i would like to transfer money to my father who is a senior citizen. will that money be taxable for my father as it might show income for him ?
Hi Mr, Sanjeev
Gifts to parents are nontaxable in INDIA.
i have certain investments abroad acquired by me when I was a non resident. is it possible for me to gift these to my daughter who is currently NRI tax free
Hi Npun,
Yes, it is possible, but you need to refer to the tax laws of that particular country too.
I want to move money from NRO to NRE. The funds were gifted by my parents residing in India. Can I still make the transfer
Hi Mr. Aditya
Transfaring money to NRE from NRO needs forms formality, Please refer your CA.
WHAT ARE CONDITION APPLIED BY INCOME TAX FOR PURCHASING NRI GIFTED LAND
Hi Mr Ayub
Please refer CA
Hi, I want to Transfer 200 Shares of an Indian Company (approx Rs.4.5 lacs as per present share value) to my Daughter, who is an American Citizen, as Gift on her 40th Birthday. She has her OCI Card as well. Please advise how to go about. Thanks
Hi Srinath,
You can ask your daughter to open a Demat account in India & transfer those shares. But my suggestion is you should sell these shares & gift amount to her – she can invest in any Indian ETF in USA.
Sir i am 77 yrs old and hold some shares of tata steel.i want to know that can i transfer these to my son who has taken US Citizenship.
Hi DR Gupta,
Yes, you can transfer it provided the total value cannot exceed USD 50000
I would like to transfer funds from my NRE account in India to my daughters’ account in Newzeland. what will be the maximum amount that I can transfer?
I have a joint property with my daughter ( NRI) She wants to gift to me (mother), the property is a flat in India, what is tax implications or steps to follow
Hi Sunita,
there is no tax implications on such transfers.
If someone from uk sends gifts to someone in india through courier andin india the authority find that in a parcel uk person has sent gold diamond and uk currency means ….is it illegal to send currency with courier ….
Hi Varun
As per my knowledge, It is kind of illegal work. So my advise is not to do so as this may land you in trouble
My only daughter is an nri in Canada She wants to gift her flat in Mumbai as i have no property and a widow. Can she do it from Canada
Can I receive a gift in form of cash from a nri which he will be sending from his bank account?
Hi Babita,
Yes you can receive but will be taxed to you, if it crosses above Rs 50,000
GIFT FROM RESIDENT MAMA TO NRI BHANJA IS TAXABLE AS PER NEW AMENDMENT IN BUDGET?
Hi, Sanjay
It won’t be taxable in the hands of him.
My Indian freind working abroad on 4 months contact wants to send me 10000USD, what is the tax liabilities
Hi Anoop,
It would be taxable in your hands if he sends you in the way of gift.
what is the provision for following scenario resident father gift to NRI daughter UK. what is rule of UK about gift received from India
Hi Amit,
As per my knowledge, upto GBP 3000 is allowed for tax exemption.
My parents would like to sell their property in India and relocate to Switzerland where I live now. They can either transfer the proceeds to me here or relocate first here, open their account here and transfer all the proceeds to their own account in Switzerland.
What is a better option and ehy(
Hi SD,
I will personally suggest second option to keep things simple in the long term.
Can a NRI having land in India gift to his NRI brother and is there any tax involved
Hi Ashish,
Gift to a relative NRI is exempt from tax in India.
We have our relatives in India want I phone and iPad latest we are three people to going India how we can take this .We have pay duty?
I am a NRI. Is there any limit for me to give gift my own sister by cheque
Hi, Sainudheen
There is no limit to sent gift to your own sister
i have recieved a house in India as a gift from my NRI relative 3 years back.Now I want to sell the same what will be the tax implications and what will be the purchase price?
Hi Omprakash,
In the Case of Gift, the cost of acquisition by the previous owner of a capital asset shall be the cost of acquisition of such asset to the person selling such capital asset and it will be taxed as per Capital gain taxation.
I am nri working in Singapore. Can I send money from my nro account to my Father-in-laws Sb account a sum of 10 lakhs Rupees? Who has to pay tax?
Hi Ravi,
yes, the receiver has to pay tax.
I was informed that when a Resident Indian gifts to a Relative in USA who is NRI or Person of Indian Origin, it does not attract gift tax laws of USA. Only when the amount received is more than 100000 US $, the same is to be reported to US Tax authorities. Pl confirm
My daughter has acquired US citizen ship. Previously she was Indian resident. She has purchased a plot during Indian residence stage. Now she want to gift the plot tome (father). Kindly guide transfer process and tax structure.
Hi Shirdish,
It’s better to consult a CA.
Hello Sir,
Thank you so much for this blog.
But, could you please suggest the changes/ amendments made to the gift tax applicable when resident of India gifts > Rs. 50000 to his relative as per the new Income tax rules 2019?
GIFT FROM RESIDENT INDIAN TO Non resident if he is relative what is the procedure if value is 10lakhs.
Can my blood brother living in Dubai send me gift of 5 Cr
I have to send my brother rs.50000 via bank transfer, who is having an NRO account in india. So will i needbto pay tax on this amount
Hi Nathalena,
No, you don’t need to pay any tax as Gift to NRI relative is exempted from tax in India.
Whether amount sent by nri to dad for repayment of Edu loan is taxable in us or India?
Hi Sridhar,
As per my knowledge, it will not be taxable in India.
I want to gift Rs 30 lakhs to my NRI son by cheque in his NRO account. Is there any tax implication?
Hi Chinmoy,
It should be backed up with Gift deed.
My mother’s sister wants to send me Usd 3000 from USA to India as gift how is the best way
Hi Ashish,
As per my knowledge, it can be transferred through the bank account but it will be taxed in India.
When an NRI gifts an Indian resident who is a relative is the Indian recipient taxed? Hello
Hi Ash,
When an NRI gives a gift to a resident Indian who is a relative, both giver and recipient are exempt from tax in india
Gifting money from India to us to a person who has acquired our citizenship. What is the best way to avoid tax liability for the recipient
Can an NRI son gift his flat in India to his resident mother in India
Hi Paul,
Yes
As a recent green card holder but as per Indian income tax we are resident for Indian income tax than should we require to open an NRO account or we should continue with our simple savings account in India?
Hi Lana,
As per FEMA regulation, when a resident’s status changes to NRI the resident savings account have to be converted to an NRO account.
Mother is resident in India and she wants to gift money lying in here bank account in India to her son In US . How much money can she send per year and what are compliances to be done by her in India
Hi Naresh,
The maximum limit for such a gift is USD 250000 in one financial year.
A non relative foreigner from UK sends gift of some movable articles and some amount of pounds in cash through a courier to an Indian friend. When the package arrives the Indian Airport the customs department find the currency in the package and demands to pay duty for the articles and for the currency.
If the gift is received by the indian what is the rate of gift tax.No gift documents are received from the foreigner. Can the Indian reject the gift , and the same can be taken back by the foreigner. Give me a clarification and suggestion
Hi,
I am a NRI residing in UK, My wife is receiving 55 lakhs from her mother as a gift with deed selling h a property.Whats the tax implication in India and tax implication in UK if I want to move those funds from NRO account to GBP. She is already working and pays 40% tax on her income.
Hi Jeg,
As far as Indian taxation is concerned, You can remit up to USD 1 million per financial year from the NRO account, you would need to submit two documents: Form 15CA and 15CB.
I have my son who is NRI in USA working in company. How much amount in rupees maximum can i gift him to buy a house or for his personal need ? Please explain .
Hi Arun,
The maximum amount you can gift is about INR 1.75cr per financial year.
Is there any clearance charges for receiving gift from my friend who is settled abroad
Hi Arun K R
As per my knowledge, if the gift amount exceeds INR 5000 then you will have to pay the clearance charges.
My brother is residing in US. I wish to know the current limits of gift as bankers cheque in my indian bank account.
Thanks
My son who is now an OCI card holder wants to gift a residential plot in India costing about 75 Lakhs. Will there be any Tax & registration charge on it
Hi i am an NRI. I am nominee in my fathers saving account in india. He had expired in nov 2019.Being nominee in his saving account the bank has transferred the cash in my NRO account. i need to know regarding tax liability against my deceased father for the cash amount and against me if any
i am nri and my mother in law want to gift a property on her name to my wife and my wife want to gift it to me ,so what forms to be filled to create a sales deed
I am NRI my family consists of 4. 2 are children.How much I can gift to each one per financial year.
Hi Vinodh,
As per my knowledge, this would depend on your residence country like in the USA you can gift up to $15000 in a financial year.
amt is applicable on gift received from NRI to resident who is relative. Amount is 30 lac
Hi Atul,
As per my knowledge, there is no taxation applicable to gifts received from relatives.
Is the gift deed for the house to be registered or a mere deed would be sufficient.
my friend from the UK send a gift to India to me through courier, now courier people are asking to pay some amount, I don’t have any tracking details.
Can NRI send money to his Father’s account to purchase the Flat in India which later NRI will transfer on his name? What is the Tax implications?
I want to send 10000 rupees to my friend in the Philippines is it objectionable
Hi Ramesh,
no, it is not objectionable. You can send the money to your Friend.
Indian resident father wants to gift bank transfer payment of 80lac to a UK NRI daughter, what are the tax implications and required documents
Hi Nusrath,
As per my knowledge, there is no taxation on sending gifts to NRI relatives but it should be backed up with a gift deed.
Dear Madam/Sir My daughter is NRI and she transfers 15000$ to her mother for maintenance. Now her brother wants 10000 $ in the same financial year. whether she can do so or what type of tax compliance or information to be given to different authorities. This is a total 25000$ from 1.4.2019 to 31.1.2020.
How can I know is my friend sent the parcel to me or not from the UK