Gifts from foreign relatives are tax-exempt, but must be reported in ITR with proper documentation for compliance.
This infographic outlines the taxability of gifts received from relatives residing outside India. Gifts from specified relatives are fully exempt from tax, while gifts from non-relatives above ₹50,000 are taxable. Maintain bank transfer details, gift deed, and sender’s ID for compliance. Report all foreign gifts in Schedule Foreign Assets of the ITR. Non-disclosure can attract penalties under the Black Money Act and scrutiny under FEMA regulations.