• Income tax

Dear Sir

I have question related to income tax filing.Can you please clarify.
My father sold a house in may 2017 and shared some amount to me which I have used to purchase house in Feb 2018. 
 Do I have to show this in income tax filing, if so how to show under what category.

Asked 4 months ago in Income Tax from hyderabad, Telangana
Has your father gifted you this money? If it is a gift, it will not be taxable.
Is your question also relating to the capital gains tax that may have arisen from this buying and selling of the house? 

Nikhil Khanna
CA, Mumbai
1290 Answers
15 Consultations

5.0 on 5.0

I don't think there is any need to declare this amount in ITR. If you still want to declare this amount, you can show it under the head income from other sources as gift.
Vivek Kumar Arora
CA, Delhi
1541 Answers
36 Consultations

5.0 on 5.0

There is no requirement to show a gift in ITR. It is not taxable hence no disclosure. You should only have sufficient evidence later that you recived a gift from valid sources.
Amit Kumar Narula
CA, Bangalore
59 Answers

5.0 on 5.0

Dear Sridevi,

Firstly you father has to file income tax return showing capital gain taxes.

Coming to your question, you will also have to show the income received from your father in your ITR. You can show it as a gift.
Abhishek Dugar
CA, Mumbai
3569 Answers
158 Consultations

5.0 on 5.0


You can show such amount received as gift income. Show it as exempt income in the income tax return. 

If the amount involved is high, get a gift deed executed or prepare declarations for gift.

Your father is liable for capital gain taxes on sale of property.
Lakshita Bhandari
CA, Mumbai
2127 Answers
68 Consultations

5.0 on 5.0

Hi Sridevi
If your father is 100% owner then the amount transferred by your father to you will be regarded as gift. You can show it as exempt income
Vidya Jain
CA, Kolkata
622 Answers
14 Consultations

4.8 on 5.0

Dear Mam,

As per your question, I have discovered following facts
a) You are not an owner of the property ( your father had 100% ownership in property) 
(b) Your father shared amount received from selling the property with you.

Do I have to show this in income tax filing, if so how to show under what category.
Answer: Yes You have to show amount received from your father as "gift income from relative" under the head "other sources Income". However gift received from relative(Father) is exempt under income tax act 1961.But its reporting in Income tax Return is mandatory.

Relative Means:
a.Spouse of the individual;
b. Brother or sister of the individual;
c. Brother or sister of the spouse of the individual;
d. Brother or sister of either of the parents of the individual;
e. Any lineal ascendant or descendent of the individual;
f. Any lineal ascendant or descendent of the spouse of the individual;
g. Spouse of the persons referred to in (b) to (f).

It is advisable to you to prepare a gift deed for the same so that if any query is raised by the department at the time of assessment can be responded with proper documentation.

For any further query feel free to contact:
Email Id:[deleted] 
Mob: [deleted]
Shiv Kumar Agarwal
CA, Delhi
273 Answers
61 Consultations

5.0 on 5.0


Amount received from father is exempt in income tax as a gift, so you don't need to pay any taxes on this gift.
You have to show your such gift in ITR under head "other income" as a Gift from relative.
taxability of capital gain in hands of father need to be check
Varun Chawla
CA, Ghaziabad
72 Answers

5.0 on 5.0

You can show it as unsecured loan. 
Further if you have not got the house registered in your name , then you can think of bringing your father as co-owner that will help your father claim exemption from capital gains arising from sale of his property.
Chirag Maru
CA, Raipur
52 Answers

5.0 on 5.0


You Father has sold the property, he need to show the capital gains on such sale in his tax return. You need not show any particulars of sale transaction in your tax return. 

You may need to report the details of new house property only if your total income exceeds INR 50 Lacs and you are required to fill Assets/Liability schedule.

Damini Agarwal
CA, Bengaluru
269 Answers
13 Consultations

5.0 on 5.0

You can declare this amount as Gift from your father ,which is tax free under income from other sources.
Swati Agrawal
CA, Indore
678 Answers
1 Consultation

5.0 on 5.0

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