Gift to mother in the form of cash from my bank account

If I gift Rs. 35 lakh to my mother (a senior citizen) by transferring amount from my bank account to her account by NEFT, and if she opens an FD in her bank with that money, will I be taxed on the interest income from that FD? If the answer is no, do I need to make any gift deed if I get any IT scrutiny? If the answer is yes, what is the other alternative?
Asked 15 days ago in Income Tax from Mumbai, Maharashtra
Hello Sir,

No you will not be taxed on the Interest Income.

It is preferable to prepare a Gift Deed and keep to avoid complications in the future.

Trust this clarifies your query. 

Feel free to call / get back in case of further clarifications. 

Thanking You. 

Regards,
Rohit R Sharma
BCOM, ACA, LLB-GEN, CERT. FAFP
Rohit R Sharma
CA, Mumbai
719 Answers
5.0 on 5.0
  Talk to Rohit R Sharma
1. You can be taxed by invoking the clubbing provision if the Officer is not satisfied.
Shyam Sunder Modani
CA, Hyderabad
955 Answers
4.9 on 5.0
  Talk to Shyam Sunder Modani
Dear Sir,

You can very well gift it to your mother. Please keep in mind your mother needs to show this amount in her income tax return as exempt income. Dont miss it.

Gift deed is re-commendatory but not mandatory.

Please feel free to call/revert in case of any doubts

Thanks and Regards
Abhishek Dugar
CA CS. B.Com
Abhishek Dugar
CA, Mumbai
766 Answers
5.0 on 5.0
  Talk to Abhishek Dugar
Dear Sir,

It is preferred to get one done from a professional still if you want to do one yourself you can download a format from google. It should be made after transfer of funds, normal notary is good enough.

Trust this clarifies your query. 

Feel free to call / get back in case of further clarifications. 

Thanking You. 

Regards,
Rohit R Sharma
BCOM, ACA, LLB-GEN, CERT. FAFP
Rohit R Sharma
CA, Mumbai
719 Answers
5.0 on 5.0
  Talk to Rohit R Sharma
Trust this clarifies your query. 

Feel free to call / get back in case of further clarifications. 

Thanking You. 

Regards,
Rohit R Sharma
BCOM, ACA, LLB-GEN, CERT. FAFP
Rohit R Sharma
CA, Mumbai
719 Answers
5.0 on 5.0
  Talk to Rohit R Sharma

Ask a Question

Get tax advice from top-rated chartered accountants. It's quick, easy, and anonymous!
Ask a question

Other Questions

Chartered Accountants

Abhishek Dugar
CA, Mumbai
766 Answers
5.0 on 5.0
Shyam Sunder Modani
CA, Hyderabad
955 Answers
4.9 on 5.0
Rohit R Sharma
CA, Mumbai
719 Answers
5.0 on 5.0
Vishakha Agarwal
CA, Bangalore
213 Answers
5.0 on 5.0
Shiv Kumar Agarwal
CA, Delhi
197 Answers
5.0 on 5.0
Lalit Bansal
CA, New Delhi
75 Answers
5.0 on 5.0
Vishrut Rajesh Shah
CA, Ahmedabad
194 Answers
4.9 on 5.0
B Vijaya Kumar
CA, Hyderabad
290 Answers
5.0 on 5.0
Ria Nagpal
CA, Ahmedabad
28 Answers
5.0 on 5.0
Bhagyashree Kankaria
CA, Pune
26 Answers
5.0 on 5.0