Receiving Gift from a client in India
adhikari last edited by ftForumAdmin
Is it possible to receive a gift from a client in India ? Hi,
I have read your blog on Quora and need your advise on the same. I am from India
I am getting some money from some of my foreigner client in lieu of the work I did for him.
Now the thing is I do not want to credit the entire amount in my bank account.
Out of this money, 70% of this money has to be paid by me to my ex-wife as Alimony, so why I have to pay tax on this amount. So, I am thinking to ask my client to do a transfer to my bank account via NEFT as in the records it will show the received amount was paid in terms of demand draft as alimony. (However, I wanted to know if Bank is going to ask the question what for I am getting money from UK or if IT dept will have an interest knowing this? And if I really has to pay tax on this sum before paying the same amount as alimony to my ex-wife?)
Shall I ask this UK client to send me only the alimony amount as Gift? I mean, do in India, the amount transferred as Gift from non blood and foreigner is considered? If yes, then maximum how much he can transfer me me to my account showing as Gift?
Looking forward to your help in this regards !!