Section I: Income Tax and You

• Ques: Receive any amount from relatives without any tax liability
• Ans: You can receive any amount from your relatives without paying any income tax as there is no gift-tax at present.
  • Relative means:
    1. Spouse
    2. Brother or sister
    3. Brother or sister of the spouse
    4. Brother or sister of either of the parents of the individual;
    5. Any lineal ascendant or descendent
    6. Any lineal ascendant or descendent of the spouse
    7. Spouse of the person referred to in (2) to (6)
    
    
    A lineal descendant is a person who is in direct line to an ancestor, such as child, grandchild, great-grandchild and on. Similarly, a lineal ascendant is parent, grandparent, great-grandparent and so on.