GIFTS are taxable or not?

by Ooshmi
(Bangalore)

What are the tax implications of giving a gift to my parents? Will it be taxable, how do I show it under which section of indian income tax?

Myself is married and my parents are dependant. I share monetary help to parents from time to time. Can I get any tax benefit on this? Kindly advice.

thanks
Ooshmi

Reply from M/s.V.Krishnan & Co.:

As far as the First Part about the chargeability of the gifts in the hands of your parents, it is clearly exempt from tax under section 56.

Regarding availing deduction of the maintenance expense of your parents from the total income, the answer is in the negative as there is no such provision under the Income tax Act or the Finance Act (governing the tax rate).