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Do you have to pay tax on gifts received?

Tax is applicable on gifts received from non-relatives once the Rs aggregate value of gifts received breaches the Rs 50,000 annual limit. The limit is applicable separately on money gifts and movable properties. For immovable property, the limit applies per transaction and not in aggregate.

Are your Diwali gifts taxable? Know tax implications on gifts this festive season

The government eliminated the gift tax in 1998 but reinstated it in 2004 under a new format and integrated it in the rules of income tax.

Before giving Diwali gifts this festive season, know about their tax implications here

Gifts of any kind received from relatives, gifts received under will or inheritance, gifts received on marriage and gifts received in contemplation of death are not taxable.

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