Finance Buddy

Weddings in India witness a lot of gold gifting. Apart from gold being gifted by parents, other relatives and in-laws shower the bride with gold. The question is: How is the gift of gold taxed. Tax lens Usually, any money or property received by anyone without any consideration is taxed and needs to be filled as “income from other sources” in the income tax returns. But the good news is that all the gold received during marriage is tax free . “Any gift received during marriage is tax free and so the gold received by a bride in marriage is not taxed. Further, there is no restriction on gold being received during marriage,” says Sujit Bangar, Founder, Taxbuddy.com. This could be in the form of ornaments, articles, utensils, set in furniture etc. Streedhan received by a lady on the occasion of marriage is not subject to tax, as per Section 56(2)(x) of the Income Tax Act . Gold offered by any relative, distant or even friends, during marriage isn’t taxed in the hands of the bride or the g...

Sujit Bangar, Founder,  taxbuddy.com,   presents a more elaborate approach. Bangar shares, “Firstly, most of the taxpayers are favouring old tax rate regime. The two tax regimes are creating confusion in the minds of return-filing taxpayers. It shall be better if we keep a single tax rate regime instead of two." Adding how healthcare costs are eating into the common man’s savings, Bangar voices in favour of increasing the deduction limit available in   health insurance   schemes. He adds, “The deduction available under Section 80D may be enhanced to   ₹ 75000 from existing   ₹ 25,000 to promote health insurance given rising health care costs." Explaining the need to include separate deductions towards the money spent on children’s education, Bangar explained, “Deduction against school fees may be de-coupled from Section 80C and separate deduction may be offered for this purpose. It shall further boost the spending on school education. Fees other than tui...