DEFINATION OF RELATIVE

[puneet virmani]

Whether Gift from real chacha (Uncle) to his nephew(Brother's son)of Rs.1000000/- covered under defination of relative.

AI Summary

Is a Gift from an Uncle Taxable? Debate on 'Relative' Definition Under Income Tax Act Sparks Controversy. A discussion on a forum addressed whether a gift from an uncle to his nephew is taxable under the Income Tax Act's definition of a 'relative.' One participant argued that the gift is taxable as the uncle is not included in the definition of 'relative.' Others disagreed, stating that uncles are covered under the definition, making such gifts non-taxable. They emphasized that gifts from relatives are not taxable, provided the donor has a legitimate source of income. The discussion highlighted the importance of proving the source and nature of the gift to avoid it being considered taxable income.