Everyone loves receiving gifts, but did you know some gifts might be taxable?
If you receive gifts worth more than ₹50,000 in a year, you’ll need to report them as income in your tax return. But don’t worry, there are some exceptions!
When gifts are tax-exempt
- Gifts from immediate family members (like parents, siblings, or a spouse)
- Gifts received during your marriage or through inheritance
- If the total value of gifts in a year is below ₹50,000
- Gifts from registered charitable trusts
You should report them as exempt income. Read more about it here.How to report gift income
- Navigate to File > Incomes > Other Incomes, then click Gift Income
- Enter the total value of the gifts received
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