https://www.taxtmi.com/caselaws?id=773970 The Tribunal allowed the assessee's appeal and deleted the addition of Rs. 45 lakhs made by the AO. The AO had added this amount claiming the assessee failed to establish her daughter's creditworthiness for gifting Rs. 45 lakhs. The Tribunal found that the daughter received the funds as gifts from her father (assessee's husband) in two tranches before gifting the same amounts to the assessee. The husband's financial statements demonstrated sufficient capacity to make such gifts. The Tribunal accepted the "source of source" argument, holding that when the immediate donor's source of funds is satisfactorily explained through credible documentary evidence, the gift from a relative qualifies as exempt income under the Income Tax Act. en-us Fri, 13 Jun 2025 00:00:00 +0530 Tue, 01 Jul 2025 08:47:56 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=773970 The Tribunal allowed the assessee's appeal and deleted the addition of Rs. 45 lakhs made by the AO. The AO had added this amount claiming the assessee failed to establish her daughter's creditworthiness for gifting Rs. 45 lakhs. The Tribunal found that the daughter received the funds as gifts from her father (assessee's husband) in two tranches before gifting the same amounts to the assessee. The husband's financial statements demonstrated sufficient capacity to make such gifts. The Tribunal accepted the "source of source" argument, holding that when the immediate donor's source of funds is satisfactorily explained through credible documentary evidence, the gift from a relative qualifies as exempt income under the Income Tax Act. Case-Laws Income Tax Fri, 13 Jun 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=773970